Issue link: https://maltatoday.uberflip.com/i/1273535
10 maltatoday | WEDNESDAY • 29 JULY 2020 OPINION HISTORY does not always re- peat itself but for Europe it does usually rhyme. Or at least it used to. In the face of a virus that has taken lives and livelihoods across the world, Europe did not give in to age-old instincts or re-open barely healed wounds from the financial crisis a decade ago. Instead, we chose to pull each other through and invest in a com- mon future. This is why we can say that last week's decision by the Leaders of the 27 Member States to endorse the European Commission's recovery pro- posal was historic. First, the numbers. Europe will have at its disposal a re- covery tool worth €750 billion to support those hit hardest by this crisis. Called Next Gen- eration EU, it will invest in a recovery that builds a greener, more digital and more resilient Union for our children. This will be topped up by the EU budget for the next seven years, bringing the overall package to €1.8 trillion. Secondly, it is historic be- cause of how Europe makes it work. For the first time on this scale, the European Commis- sion – backed by the 27 Mem- ber States - will use its strong credit rating to raise money on the capital markets for Next Generation EU. In past crises, the better off survived while the most vul- nerable paid a heavy price. But this time it has to be different. This time we can only get back on our feet if we all pull each other up. This is why most of Next Generation EU funds will be distributed in grants to Mem- ber States to finance crucial reforms and investment. This is European money supporting projects and people from Mar- salforn to Marsaskala, creating jobs locally and strength glob- ally. Reforms and investment will be tailored to what each coun- try needs and in line with our wider European goals. For some, this will support reforms in the labour market to boost productivity, while others will focus more on education and training to help people develop the skills they need. Some will invest in improving digital infrastructure and oth- ers on transport connections. But, crucially, all will contrib- ute to the goals of the European Green Deal. 30% of the overall €1.8 trillion will be ring-fenced for climate related spending and a new Just Transition Fund of €17.5 billion will help those people and regions which have to make a bigger transforma- tion than most. The third reason we can use the word historic is because of how the money will be repaid. To avoid sending a higher bill to Member States in the future, Europe should repay the funds through what we call new own resources. These will include a levy on big tech companies, a tax on non-recycled plastics and put- ting a carbon price on imports coming from countries with lower climate ambitions. Some people will ask about why Malta should raise or re- pay money with another coun- try thousands of kilometres away. The answer is simple. Eu- rope's prosperity lies in its uni- ty, its community and its single market. So for us solidarity is actually self-interest and a euro invested in one country is actu- ally a euro invested for all. Think about what happens to our tourism industry if people from across Europe cannot af- ford to come to Malta and Gozo anymore. Think about what happens to our manufacturers if they cannot get the parts they need from their suppliers in different European countries. Think about how the crisis has taken its toll on us all – on peo- ple's wellbeing, the solvency of businesses, the functioning of society and the health of every single European economy. And it is not over yet. This is why we need to act urgently, decisively and collec- tively. And last week, Europe showed that it is up to the task. Of course, some will point to the long and difficult Summit and see that as hesitation or weakness. We see it as the ul- timate sign of Europe's unique strength. Just take a step back and look around. Nowhere else in the world could 27 different coun- tries even discuss financing their recovery and future to- gether. We did it over one long weekend. At this very fragile moment in history, being in Europe is the best place to be. And now we need to keep it that way for all by working with governments and parliaments to bring this recovery to life. Our Union should always be judged on what it can offer for the future. That vision of a common fu- ture enabled us to take every bold step in our history: uniting Europe after the Second World War or the end of the Cold War, creating our common market and introducing our common currency. Today, it is that same pioneering vision en- abling us to make another his- toric step for our Union. Making Europe's future rhyme for the next generation Ursula von der Leyen and Helena Dalli Ursula Von der Leyen is President of the European Commission Helena Dallis is Equality Commissioner