This Week in Finance — Brussels (#29, 2026)
Commission disburses €1.24bn to Ukraine for defence; ECOFIN agrees on Market Integration and Supervision Package; critical raw materials projects selected; EEA CBAM amendments adopted.
October 05, 2026 to October 11, 2026
Commission disburses €1.24bn to Ukraine for defence; ECOFIN agrees on Market Integration and Supervision Package; critical raw materials projects selected; EEA CBAM amendments adopted.
📋 In This Week's Newsletter
• 📅 This Week's Calendar in Brussels
• 🇪🇺 European Commission
• ⚖️ EU Legislation
• 🤝 EU Council
• 📚 What We're Reading This Week
This Week's Calendar in Brussels
- Committee on Budgets (BUDG): On October 12, the European Parliament's Committee on Budgets (BUDG) is scheduled to meet. Agenda includes: 2026 Budget: Other SectionsRapporteur: Matjaž Nemec (S&D)- EP: C7/2026, C8/2026- EESC: INF 4/2026, INF 5/2026, INF 6/2026- CoR: INF 5/2026, INF 6/2026- European Ombudsman: n°2/2026- Any other transfer request received; 2026 Budget: Section III - Commission:Rapporteur: Andrzej Halicki (EPP)- DEC 15/2026, DEC 16/2026, DEC 17/2026- Any other transfer request received; 2026 Budget: Section III - Commission:Rapporteur: Andrzej Halicki (EPP)- DEC 18/2026- DEC 19/2026- DEC 20/2026- Any other transfer request received.
- Committee on the Internal Market and Consumer Protection (IMCO): On October 15, the European Parliament's Committee on the Internal Market and Consumer Protection (IMCO) is scheduled to meet. Agenda includes: * * *; Chair’s announcements; Coordinators’ meeting.
European Commission
Commission disburses €1.24 billion to Ukraine for drones and missiles
On 6 October 2026, the European Commission disbursed €1.24 billion under the defence component of the €90 billion Ukraine Support Loan, authorised by Regulation (EU) 2026/467. The funding covers drones, interceptors, ammunition, and missiles produced by Ukrainian entities. President Ursula von der Leyen indicated that the disbursement aims to reinforce Ukraine's defence industry in response to Russia's continuing attacks. The loan provides €60 billion for defence and €30 billion for budgetary assistance across 2026–2027, with €28.3 billion planned for Ukraine's defence industrial capacity in 2026. All funding is subject to conditions and monitoring, and further disbursements will follow in coming weeks.
Commission selects 46 new Strategic Projects to bolster the EU's supply of critical raw materials
On 8 October 2026, the European Commission announced the selection of 46 new Strategic Projects across 16 Member States to strengthen EU supply chains and diversify sources of critical raw materials. The projects are aligned with the targets set in the Critical Raw Materials Act (CRMA), which entered into force on 23 May 2024. The CRMA benchmarks require sufficient capacity for extraction, processing, and recycling by 2030. The selected projects span extraction, processing, recycling, and integrated value chains covering 15 of the 17 strategic raw materials. Several projects support the battery, defence, aerospace, and permanent magnet value chains. The Commission will soon launch a new call for Strategic Project applications.
Remarks by Commissioner Dombrovskis at the ECOFIN press conference
On 8 October 2026, Commissioner Valdis Dombrovskis addressed the political agreement reached on the Market Integration and Supervision Package at ECOFIN. The package is intended to advance the savings and investments union and strengthen capital markets. Dombrovskis noted the Commission's forthcoming proposals for a banking competitiveness and simplification package in early 2027. He also referenced the Council's endorsement of Czechia's medium-term fiscal structural plan and the adoption of recommendations for Greece. Dombrovskis discussed ongoing fiscal developments, the Recovery and Resilience Facility, and the EU's continued budgetary support to Ukraine.
NextGenerationEU shows strong delivery record as implementation reaches finish line
On 6 October 2026, the European Commission presented its fifth annual report on the Recovery and Resilience Facility (RRF), part of NextGenerationEU. €450 billion has been disbursed, accounting for nearly 80% of the total requested by Member States. Member States had until 31 August 2026 to fulfil programme milestones and targets; the Commission is now assessing final payment requests for the remaining €123 billion, expected to be completed by end-2026. The report details progress on digital and green investments, labour market reforms, and administrative modernisation across the EU.
Questions and answers on the Critical Raw Materials strategic projects
On 8 October 2026, the Commission released detailed information about strategic projects under the CRMA. Following the second call, 46 projects from 16 Member States were selected, joining 47 projects previously chosen in March 2025. The CRMA sets specific extraction, processing, and recycling targets for 2030 and limits dependence on single suppliers to 65%. Strategic project status offers streamlined permitting and improved access to funding, but does not guarantee EU financial support. The Commission estimates €21.1 billion in capital investment is needed, with €2 billion already mobilised via the Innovation Fund, State aid, and EIB.
Joint Statement at the second meeting of the EU-China Trade and Investment Consultations
On 8–9 October 2026, Commissioner Maroš Šefčovič and Chinese Minister Wang Wentao convened in Beijing for the second meeting of the EU-China Trade and Investment Consultations (TIC). The discussions resulted in agreements on tariff reductions, trade in hybrid vehicles, and market access for medical devices. Both sides agreed to further dialogue on export controls, rare earths, and permanent magnets, and reaffirmed their commitment to WTO reform. The next TIC ministerial meeting is scheduled for March 2027, with preparatory video-conferences planned for January.
Press remarks by Commissioner Šefčovič at the EU-China Trade and Investment Consultations
Commissioner Šefčovič outlined the outcomes of the EU-China TIC meeting in Beijing, highlighting shared understandings to moderate China's hybrid vehicle exports and improve EU market access for certain products. The agreements are expected to deliver duty savings and facilitate rare earths export licensing. Šefčovič stressed that these steps mark the beginning of a process to rebalance EU-China trade relations. The final decision will be taken at the upcoming European Council, with continued negotiations planned.
Commission adopts proposal to accelerate standards development and improve EU competitiveness
On 5 October 2026, the Commission proposed revisions to Regulation (EU) No 1025/2012 to modernise the European standardisation system. The measures include clearer deadlines for standard development, enhanced participation from SMEs, and improved access to standards repositories. The proposal allows greater use of external technical specifications and interim deliverables, aiming to reduce average development time from six to four years. The Commission also seeks to strengthen EU coordination in international standardisation and will establish an Expert Centre for strategic steering. The proposal will be examined by the European Parliament and Council.
EU Legislation (Official Journal)
Council Implementing Regulation (EU) 2026/2257 implements Russia-related restrictive measures
Council Implementing Regulation (EU) 2026/2257 of 8 October 2026 amends Regulation (EU) 2024/2642 concerning restrictive measures in view of Russia’s destabilising activities. The regulation updates entries for eight individuals and deletes one, following a review prompted by increased hybrid threats against the Union.
Council Implementing Regulation (EU) 2026/2263 updates Ukraine-related sanctions list
Council Implementing Regulation (EU) 2026/2263 of 8 October 2026 amends Regulation (EU) No 269/2014, adding one individual to the sanctions list in response to recent escalations by Russia and in line with European Council conclusions of June 2026 supporting Ukraine.
Commission Implementing Regulation (EU) 2026/2210 amends VAT fraud statistical reporting
Commission Implementing Regulation (EU) 2026/2210 of 5 October 2026 modifies Implementing Regulation (EU) No 79/2012 regarding statistical data that Member States must report for the evaluation of Regulation (EU) No 904/2010, introducing new reporting fields for CESOP and the VAT small enterprises scheme.
EU Council
ECOFIN Council agrees on Market Integration and Supervision Package
On 9 October 2026, the Economic and Financial Affairs Council reached agreement on the market integration and supervision package, central to the savings and investments union. Ministers also discussed banking sector competitiveness ahead of a new Commission legislative package.
Eurogroup discusses capital markets union and energy market implications
On 8 October 2026, the Eurogroup reviewed exchange rate developments, public finance efficiency, and progress on the capital markets union, addressing energy market impacts on the euro area economy and preparing for international meetings.
What We're Reading This Week
- 2027 state budget reaches parliament with Socialist Party backing assured: Lawmakers begin debating the 2027 state budget, which is expected to pass smoothly with guaranteed Socialist Party support.
