ECONOMY

EU to tweak rules to hasten delivery of funds to Greece

eu-to-tweak-rules-to-hasten-delivery-of-funds-to-greece

The European Commission is proposing to tweak the bloc’s co-funding rules retroactively so Greece can access regional development aid it was unable to spend due to its debt crisis, the commissioner for regional policy said on Monday.

“The Commission proposed that the rate of co-financing is raised from 95 percent to 100 percent for 2007-2013,” Corina Cretu told reporters after talks with Greece’s economy minister.

“This would benefit the Greek budget immediately.”

She said the exceptional rule change, which needs the approval of member governments and European Union lawmakers, would save Athens some 2 billion euros in matching funds and permit it to use money it would otherwise have lost.

“It was not easy for me to fight in front of the European Parliament for this exceptional measure because many countries will lose money,” Cretu said.

“But I think the situation in Greece is completely exceptional.”

[Reuters]