Green economy and digitalisation will be Lithuania's priorities in spending EU support, said President Gitanas Nausėda after returning from budget talks in Brussels.
The European Council deal, arrived at Tuesday morning, will see Lithuania receive 14.5 billion euros in 2021–2027, including 2.4 billion euros in grants and up to 3 billion euros in loans from the EU's coronavirus recovery fund.
Read more: Lithuania secures bounty for its farmers as EU leaders seal budget deal
“We are glad for the whole of the EU. We had questions, doubts on whether the EU was capable of making swift and effective decisions in the wake of such a serious crisis. We probably had moments of concern that we would not be able to make those decisions, but European power and unity prevailed this time again,” Nausėda told reporters at Vilnius Airport after returning from the four-day marathon talks in Brussels.
The compromise was achieved because member states demonstrated flexibility during the last hours of the negotiations, according to Nausėda.
“Perhaps, in those final hours before the decisive moment, we all demonstrated the much-needed flexibility, perhaps renounced some personal goals focused too much on individuals states and understood that the decision itself is the key thing and we can coordinate all other things,” he said.
Following the confirmation of the new multiannual EU budget and the recovery fund, Lithuania will have great possibilities to fund green economy and digitalisation projects, according to Nausėda.
It will be very important to prevent any misuse of the EU funds and ensure proper controls, the president said.
“Work will start soon as this money will definitely need to be spent according to clear priorities, and the most important thing is to spend it with all necessary controls to prevent misuse,” he said.
The deal agreed by leaders of the EU member states will see the EU issue 750 billion euros of joint debt to help countries hit by the coronavirus pandemic, an unprecedented step towards deeper fiscal integration in Europe.
EU leaders also approved the bloc's 2021-2027 budget worth over one trillion euros.
The Baltic states secured a better deal on agriculture subsidies at the end of the marathon summit. Direct payments to Lithuanian farmers will increase to 200 euros per hectare in 2022, from the current 117 euros.
Nausėda said that close coordination with Latvia and Estonia helped to secured more agricultural funding for the Baltic states.
“We received a good proposal for our farmers, [...] around 400 million euros will be paid out in direct payments over the next seven years,” according to Nausėda.
Read more: Too much money from EU would be harmful to Lithuania, MEP says
The total value of European support to Lithuania in the new financial perspective stands at 14.5 billion euros, which is 1.7 billion euros more than in the 2014-2020 budget.
The increase is due to the EU decision to establish a new recovery fund. Lithuania is set to receive 2.4 billion euros in grants and up to 3 billion euros in loans.
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