Multiannual financial framework for the years 2014-2020: special instruments

PURPOSE: to amend Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 in order to maintain a sufficient capacity for the Union to react to unforeseen circumstances.

PROPOSED ACT: Council Regulation.

ROLE OF THE EUROPEAN PARLIAMENT: Council may adopt the act only if Parliament has given its consent to the act. 

BACKGROUND: the special instruments have been extensively used in the first years of implementation of the 2014-2020 multiannual financial framework (MFF) set out in Council Regulation (EU, Euratom) No 1311/2013 to address new challenges which arose in the European neighbourhood (such as mass migratory movement) and called for swift and comprehensive Union action to deal with their far-reaching humanitarian and security implications.

Given the persistent nature of these new challenges, the Union shall maintain a sufficient capacity to react to unforeseen circumstances.

CONTENT: the Council draft seeks to amend the MFF Regulation to allow the Union to react rapidly to crises, such as the current migration crisis, as well as to events with serious humanitarian or security implications during the remaining period of the MFF.

The proposal seeks to:

• increase the maximum amounts for the adjustment of payment ceilings for the years 2019-2020 under the global margin for payments. The maximum amounts shall be set at EUR 7 billion in 2018; EUR 11 billion in 2019 and EUR 13 billion in 2020;
• strengthen the Emergency Aid Reserve: the annual amount of the Reserve is fixed at EUR 300 million (2011 prices):
• strengthen the Flexibility Instrument: a ceiling on the annual amount available for the Flexibility Instrument shall be EUR 600 million (2011 prices);
• ensure specific and maximum possible flexibility should also be ensured by providing for unused amounts from the European Union Solidarity Fund and the European Globalisation Adjustment Fund to be made available to the Flexibility Instrument;
• provide that the margins left available below the MFF ceilings for commitment appropriations shall constitute a Global MFF Margin for commitments, to be made available over and above the ceilings established in the MFF for the years 2016 to 2020 for policy objectives related to growth and employment, in particular youth employment, and to migration and security.