EU to propose doubling aid available to troubled member states

BRUSSELS: The European Commission will propose to nearly double the maximum amount of EU aid that can be given to member states facing economic trouble to 25 billion euros, EU Economic Affairs Commissioner Joaquin Almunia said.

"We sent to the council (of member states) proposals for increasing this ceiling to 25 billion euros (32 billion dollars)," Almunia told journalists in Brussels.

Under a 2002 rule, the European Union can provide up 12 billion euros in financial assistance to member states that do not use the euro when their economies run into serious trouble.

On Tuesday, the EU agreed to provide Hungary 6.5 billion euros in aid as part of 20 billion euro package along with the International Monetary fund and the World Bank.