, Columnist
Italy Reverts to Its Bad Old Habits
Even if the EU finds a compromise with Poland and Hungary on its $900 billion recovery fund, will recipient nations spend the money properly?
Drifting.
Photographer: FILIPPO MONTEFORTE/AFPThis article is for subscribers only.
The European Union’s attempt to put together a joint fiscal response to the Covid-19 recession is being held up by a pair of troublemakers. Hungary and Poland are resisting efforts to link the disbursement of emergency funds to a commitment to the rule of law, which they see as an undue intrusion in their domestic affairs.
But even if Brussels manages to reach a compromise on this political matter, a profound financial question about its 750 billion-euro ($900 billion) “Next Generation EU” package would reemerge: How can you make sure recipient nations spend it properly?