/MNI ANALYSIS - EU COVID-19 Recovery Fund and....>

EU: /MNI ANALYSIS - EU COVID-19 Recovery Fund and 2021-27 Multiannual Financial

Framework Sell-Side Views:

- Most sell side analysts see the EC's latest EUR750bln proposal as credible

with the phrase "game changer" mentioned by a number of banks.

- Some analysts see the main impacts of the plan being the longer-term impacts

and the changes for the EU. Now that the UK is no longer there to present a

stumbling block, the EU can become more integrated longer term with more common

fiscal policies and debt issuance.

- There is also a view that the plan will help the EU as a whole recover from

the impacts of the Covid economic shock.

Most analysts see the European Commission's estimate of the impact on GDP as a

"credible" assessment.

- It is widely viewed that the recovery plan will be passed later this year,

despite some potential near-term stumbling blocks with the Frugal Four

eventually backing down.

- For full analysis, see email sent at 1621BST, or contact us for access.