Several countries — particularly those that can borrow cheaply on financial markets — are reluctant to undertake unpopular domestic reforms in exchange for loans that they will eventually have to return to the Commission.
An EU official said the Commission had introduced tougher controls to try to convince frugal governments, mainly those in northern European countries, who feared money was being misspent.
The EU’s audit watchdog has suggested that weak checks by Brussels authorities and tight deadlines could increase the risk of fraud.
“The big problem and reputational risk is that payments are correct at the time they are made, but the Commission does not sufficiently control subsequent spending,” said Tony Murphy, president of the European Court of Auditors (ECA). , to journalists earlier this year. .
There are growing questions about whether the rules are too strict ― or, conversely, whether the Commission is right in its rigidity ― because some national leaders and senior officials are calling for similar financing initiatives, such as spending funding defense and green, in the years to come. come.
Economists Tito Boeri and Roberto Perotti warned in an interview with POLITICO that misuse of recovery funds would only confirm to less indebted countries, such as Germany and the Netherlands, that new joint borrowing carries too much risk.
“A lot will depend on how frugal countries perceive whether the money was well spent by the countries that received the most,” Perotti said. “The next three years are crucial. »
Politices
