The European Union has reached a provisional agreement on the multiannual financial framework (MFF) for 2028 to 2034, with European Commission President Ursula von der Leyen praising Cyprus’ leadership during its EU Council presidency. The deal sets the foundation for the EU’s budget, focusing on priorities such as competitiveness, security, agriculture, and cohesion.

However, the Cypriot government’s proposal, which forms part of the negotiating framework, has drawn significant criticism from several EU member states and political groups. The Socialists and Democrats group in the European Parliament voiced concerns over the proposed €32 billion cut compared to last year’s commission draft and the lack of dedicated funding for key EU policies like agriculture and cohesion.

Several large net contributor countries, including the Netherlands and Germany, described Cyprus’ budget plan as unaffordable and unbalanced, with calls for deeper cuts in traditional budget areas. Italian Prime Minister Giorgia Meloni also urged reforms to the EU rebate system. Ireland will take over the EU Council presidency next month and is expected to propose a new negotiating framework, with hopes that a final agreement on the MFF can be reached by the end of the year.