BRUSSELS: The European Union's executive Commission announced proposals on Wednesday for a 2.5 billion euro ($3.24 billion) fund to provide food, clothing and other basic goods to poor citizens suffering the consequences of the bloc's financial crisis.
EU governments would use the proposed fund to help finance aid schemes between 2014 and 2020 for the estimated 40 million Europeans considered to be severely materially deprived, including children and the homeless.
"It will be a concrete demonstration of EU solidarity with the weakest - those who have been worst affected by the economic and social crisis," EU Social Affairs Commissioner Laszlo Andor said in a statement.
If approved by EU governments and lawmakers, the fund would replace an existing 500 million euro-a-year food aid scheme, through which millions of tonnes of grain are purchased each year and given to companies in exchange for food aid.
But the proposal could face opposition from EU states including Germany and Britain, who are keen to limit spending under the EU's next long-term budget for 2014-2020, and argue that social welfare schemes are best managed and funded at national level.
Top EU grain producer France is the most prominent supporter of the current food aid scheme, but agreed last November that EU funding should end in 2014, as part of a deal to maintain the scheme this year and next.
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