EU seeks new sources of revenue

According to media reports, the European Commission intends to generate new revenue as part of the EU budget. Among other things, a levy on companies with annual net sales of EUR 50mn or more is planned. The revenue is expected to be used to pay off debt. The EU appears to be distancing itself from a digital tax, presumably as a concession in the tariff negotiations with the US. The market has remained calm so far. Credit spreads reacted hardly and widened only slightly in the most sensitive high-yield segment.