EU Allocates 19 Billion Euro for Financial Crisis Fallout

The European Union will allocate 19 billion euro from the planned expenditure of the European Social Fund to support people affected by the economic crisis. Also, the EU will allocate funds in advance and co-financing by Member States will not be necessary for the period 2009-2010.

The proposals are part of a project in ten points that will be putted to analysis of Heads of State of the EU in the second half of June.

“Europe has gone immediately to action to meet economic and financial crisis, including the social dimension of it. Commission make a step towards joint commitment and coordinated action from the EU Member States and social partners to save and create jobs”, said today the European Commission president Jose Manuel Barroso.

EU will accelerate the development provision of billion euros for vocational retraining through the European Social Fund. In addition, together with international financial institutions, especially with the group of the European Investment Bank, the EU will create a new feature of microcredit to 500 million euro to support entrepreneurs.