EU leaders deadlocked over COVID recovery plan after a day of haggling

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EU leaders deadlocked over COVID recovery plan after a day of haggling
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European Union leaders struggled to close ranks on the main elements of a multi-billion-euro plan to rebuild their economies ravaged by the global shutdown

Many of the 27 heads declared on arrival for their first face-to-face summit for five months that a deal was crucial to rescue economies in free fall and shore up faith in the European Union, which has lurched for years from crisis to crisis.

Diplomats said the 27 remained at odds over the overall size of the package, the split between grants and repayable loans in the recovery fund and rule-of-law strings attached to it.But the main stumbling block was over vetting procedures to access aid, an EU official said, with Dutch Prime Minister Mark Rutte demanding that one country could block payouts from the fund if member states backslide on economic reform.

Czech Republic's Prime Minister Andrej Babis speaks during the news conference via video during the first face-to-face EU summit since the coronavirus disease outbreak, in Brussels, Belgium July 17, 2020. Oliver Matthys/Pool via REUTERS The EU is already grappling with the protracted saga of Britain’s exit from the bloc and is bruised by past crises, from the financial meltdown of 2008 to feuds over migration.

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