The summit continued for several days longer than planned due to strong differences over a COVID-19 recovery fund and a long-term budget.

EU leaders have coordinated an economic recovery fund and a long-term financial plan at a summit in Brussels, EU Council President Charles Michel announced. 

"We have an agreement, a good agreement! With a budget of 1.074 trillion euros [$1.2 trillion] and a recovery plan of 750 billion euros [$857 billion]. The EU has never dared to invest so ambitiously in the future", Belgian Prime Minister Sophie Wilmes confirmed on Twitter.

According to Michel, "This agreement sends a concrete signal that Europe is a force for action". 

Ahead of the plenary session, Michel said that he would offer new proposals on the EU's long-term budget and recovery plan, describing it as the "fruit of lots of collective work". According to media reports, he suggested that the 750-billion euro ($854 billion) recovery fund consist of 390 billion euros in grants and 360 billion euros in loans.

The plan initially included 500 billion euros in grants and 250 billion euros in loans for EU nations. The so-called Frugal Four group of European countries — Austria, Denmark, the Netherlands, and Sweden — opposed the plan, insisting that money should be issued in the form of loans rather than grants.