UPDATE 2-EU to launch pandemic plan with € 10 billion bond issue – French Minister
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PARIS, May 31 (Reuters) – The European Union plans to launch its 750 billion euros ($ 917 billion) pandemic stimulus plan with a first bond issue of 10 billion euros, the young minister said on Monday. French for European Affairs, Clément Beaune.
In an interview with French financial daily Les Echos, Beaune also said that more than 100 billion euros would be injected into the European economy from this year.
Beaune said the European Commission would launch the debt issuance process on June 1 using major European and international banks, and that the securities would be issued in June.
“The appetite of the market should be very high and interest rates very favorable”, he declared to Les Echos.
Asked whether the new bonds would be called corona bonds, he said, “let’s avoid this radioactive term,” and added that with the stimulus package an embryonic European Union treasure was taking shape.
Proceeds from the issue will be spent from July and by the end of the year Europe will inject more than 100 billion euros into its economy to finance the recovery of its member states, he said. he declares.
Asked about a G7 initiative for a minimum corporate tax rate of 15%, he said that within the European Union, Ireland was most hostile to the principle of a minimum tax and a taxation of Internet companies, and to a lesser extent in Cyprus and Malta.
He added that the Netherlands were not opposed to the principle but will be demanding about its implementation.
“The European Union is blocked because of the unanimity rule. When there is a legal blockage, we need a political battle … given the American position and the global agreement that we hope for in July, this will put strong political pressure on reluctant member states, ”he said. he declared. (Reporting by GV De Clercq; Editing by Giles Elgood, David Gregorio and Cynthia Osterman)