On 11 June 2026, the Cyprus presidency of the EU Council presented a revised negotiating box for the next Multiannual Financial Framework (MFF), proposing a 2% cut across all budget headings. Deputy Minister Marilena Raouna, speaking at a press point, defended the compromise as an honest broker effort to balance net payers' demands for cuts with the interests of cohesion and agriculture supporters who want maintained funding. She stressed that the modernized architecture keeps the European Competitiveness Fund at over 50% of the budget and preserves the excellence criterion.
Raouna acknowledged that net payers like Germany have red lines on budget discipline, while traditional priorities such as cohesion and agriculture face pressure. She expressed confidence that putting concrete figures on the table would help bridge positions, though she noted the risk of no deal by end-2026. With 19 days remaining in the Cyprus presidency, work continues on sectoral files including the National Recovery and Resilience Plans (NRPP), the European Competitiveness Fund (ECF), and Global Europe, before the handover to the Irish presidency.
The proposal affects all EU member states, particularly net payers and cohesion/agriculture beneficiaries, as well as sectors relying on EU funding for competitiveness, defense, and long-term investment. Journalists from DPA, Cyprus News Agency, and Euronews questioned whether the box could satisfy both sides, highlighting the delicate balance required to reach a consensus.