BRUSSELS – On Tuesday, the European Parliament’s Budget Committee and the Committee on Economic and Monetary Affairs called for a one-and-a-half-year extension for the implementation of mature projects financed by recovery and resilience funds.
Under the current regulations of the Recovery and Resilience Mechanism (RRF), the deadline for fund disbursement is set for December 31, 2026. This effectively means that projects must be completed by August 31, 2026, to secure approval for funding. Consequently, any projects not finished by the end of August next year risk losing their allocated funds.
During a joint session, the two committees approved a resolution advocating for an “18-month extension for mature projects, if necessary, through amendments to the RRF regulation.”
This resolution is scheduled for a vote at the European Parliament’s plenary session in June.
Members of the European Parliament (MEPs) have voiced concerns that the tight timeframe for utilizing the remaining RRF funds presents challenges for accomplishing essential reforms, significant investments, and innovative projects that are set to be completed in the final years of the RRF.
An extension of the deadline is deemed crucial for all member states, including Croatia, which has been recognized as one of the leaders in executing its national recovery and resilience plan.
For a considerable number of ongoing projects in Croatia, there is a risk that they may not be finished by the August deadline. Thus, extending the implementation timeline would facilitate the completion of these projects and help prevent potential financial losses.
According to the latest government report, Croatia is currently managing a total of 157 investments and 78 reforms funded through the Recovery and Resilience Mechanism. As of the end of October 2024, 47 percent of the available funds (comprising both grants and loans) have been utilized, indicating that more than half of the projects are still unfinished. (May 20, 2025)
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