The European Commission has outlined a plan for the European Union to raise roughly €400 billion through joint borrowing, creating a new crisis instrument aimed at helping member states cope with future economic shocks. The proposal revives the bloc’s use of collectively backed debt, a mechanism first deployed during the pandemic, and would add to the EU’s existing shared-financing tools. Details on how the funds would be distributed and the borrowing schedule have not yet been released, and the measure still requires approval from all 27 member governments.