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3min chapter
Debt dynamics: Exploring EU borrowing in changing times
The Sound of Economics
The Institutional Issue of the EU's Borrowing Costs
There's about 421 billion euro here, which we've borne by the EU budget. The cost of paying this interest rate has been accounted for in the MFF and in the annual EU budgets. However, when the Commission was forecasting this cost, it used market future rates. And basically looking at these trends, it forecasted that interest rates would ultimately rise to about 1.15% by 2026, 2027. It might end up back down there, but it's certainly not the case now.
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