EU’s $8 Billion for Vaccine Just a Start, Von Der Leyen Tells DW

(Bloomberg) --

European Commission President Ursula von der Leyen said the 7.5 billion euros ($8.2 billion) of funds targeted by the bloc to develop and manufacture a coronavirus vaccine “are just the start,” according to an interview with German broadcaster Deutsche Welle.

“I think we will need more money over time,” von der Leyen told Deutsche Welle.

The European Commission will host a virtual summit meeting on May 4 for leaders to push to raise the funds. The World Health Organization and the leaders of France and Germany on Thursday launched a drive to accelerate development of a vaccine, stressing it should be available to everyone, without favor shown to the country that develops it first.

The pandemic can only be overcome with a vaccine and so global coordinated research is needed, von der Leyen said.

German Chancellor Angela Merkel promised her country will make a “distinct” financial contribution to the effort, adding she didn't want to disclose the amount yet. A total of 8 billion euros are needed to make vaccination, medication and adequate diagnostics available for “all people on earth,” she said in her weekly podcast. Germany is co-hosting Monday's donor conference.

“Common action is a must,” said Merkel. “Only joint, international, multilateral action will allow us to overcome the pandemic.”

In terms of financial aid for EU member states, von der Leyen said the EU needs “a big recovery instrument” on top of its seven-year budget. That instrument should be “Marshall Plan-like,” which can be channeled through the budget.

The EU must also improve its crisis-response system to be able to buy critical medical goods such as personal protective equipment, masks and ventilators, and to stockpile and distribute them to member states, she added.