EU proposal to lower co-financing threshold would generate €300 mln in fiscal savings
A proposal by the European Commission to lower Hungary's national co-financing threshold for European Union-supported investments from a minimum 15% to at least 5% could free up about €300 million from the country's budget, state secretary at the National Development Ministry Ágnes Molnár said on Tuesday.
The Commission said on Monday it proposed lowering the proportion of the cost Hungary and five other member states must cover in EU-supported projects with the aim of launching investments that have not yet started because of a lack of national funding.
The measure "should be accompanied by a prioritization of projects focusing on growth and employment, such as retraining workers, setting up business clusters or investing in transport infrastructure", the Commission said.
The measure does not represent new or additional funding but it allows an earlier reimbursement of funds already committed under EU cohesion policy, rural development and fisheries, the Commission said.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.