Politico reporting overnight that European.......>

EU: Politico reporting overnight that European Council President Charles Michel

will present his negotiating box (proposal) on the multiannual financial

framework (MFF, long-term EU budget) to member state gov'ts "in the second half

of next week".

- According to the Politico story, Michel will seek to maintain the "size and

ambition" of the Commission's proposed EUR750bn COVID-19 recovery fund, as well

as the proposed balance between grants and loans (two-thirds to one-third). 

- To try and win support from the 'frugal four', the size of the MFF will be

"slightly" reduced while rebates will remain and the Council will attach

stricter conditionality to how the money can be spent. 

- Today Michel will hold videoconferences with German Chancellor Angela Merkel

(1300CET, 1200BST, 0700ET) and French President Emmanuel Macron (1600CET,

1500BST, 1000ET). Macron is largely on board with the Commission proposal. For

Merkel, she would likely also support much the proposal, but is facing some

resistance from the fiscal conservative wing of her party.