The leaders of Germany and France have proposed the creation of a recovery fund of 500 billion euros for European countries affected by the pandemic, AP reported.

In a joint statement, German Chancellor Angela Merkel and French President Emmanuel Macron said the fund would use the budgetary spending of the EU to help sectors of the economy and regions that were particularly affected by the outbreak.

According to Macron, in accordance with this proposal, EU 27 member states will take loans in financial markets and use EUR 500 billion to finance the most affected sectors of the economy and regions.

Two leaders said they would seek a“swift agreement” on the EU budget and the proposed recovery fund. Merkel said that “because of the unusual nature of the crisis we are choosing an unusual path.”

European Commission President Ursula von der Leyen said she welcomed the proposal. “It acknowledges the scope and the size of the economic challenge that Europe faces, and rightly puts the emphasis on the need to work on a solution with the European budget at its core,” she said.