“Non-transparent, unsuitably targeted subsidy schemes – which are frequently used just to administer European resources – are what have led us to this loss of breath. They were not used for the essential purposes for which they were intended, namely innovation, development and support of those projects that contribute to economic growth,” said the SAO Chairman. 

The annual report of the ECA, presented by Auditor Kaszasová, raised concerns: “The main risk is the increasing pressure on the future budget resulting from the indebtedness of the European Union. By 2027, the outstanding loans drawn by the European Union could exceed ten times the level of 2020,” she stated. 

Chairman Andrassy noted that the EU is in a serious financial situation, comparable to that of individual Member States. Before the COVID-19 pandemic, the European Union’s debt was approximately 52 billion euros; currently it stands at about 578 billion euros. “If we proceed at today’s borrowing rate, by 2027 we will be approaching the figure of 900 billion euros,” he warned. 

From 2028 onwards, the EU is expected to allocate around 40 billion euros annually to debt servicing from past borrowings. “If I were to compare this situation in terms of debt service and indebtedness of Europe, I would say that Europe is living at the expense of future generations,” Andrassy added. 

In relation to the drawing of EU funds, the SAO’s head emphasised that the principal focus cannot simply be the volume of funds drawn. “Firstly, there must be measurable indicators, quality control, transparency and, most importantly, definition of efficiency and measurable outcomes,” he concluded.