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EU budget cuts broadband funding

2013-02-11 09:20:00| Telecompaper Headlines

(Telecompaper) The EU Council agreement on the EU's budget for the period 2014-2020 has sharply reduced the amount of funds dedicated to expanding broadband access. The European Commission had proposed EUR 9.2 billion for the digital economy, as part of the Connecting Europe Facility, and in the final agreement, this was reduced to around EUR 1 billion, to be spent mainly on services such as e-government and telemedicine. Neelie Kroes, commissioner for the Digital Agenda, said it was a "missed opportunity", but said she will look for other ways to support financing of new networks, such as through the European Investment Bank. The budget still requires approval by the European Parliament. The major political groups in parliament have said they are not in complete support of the overall spending cuts in the budget, which could lead to a compromise on restoring some of the funding.

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