Good morning from Brussels,

The Party of European Socialists lead candidate Nicolas Schmit is fuming with Commission President and centre-right EPP party lead candidate Ursula von der Leyen after she left the door open to collaboration with hard-right European Conservatives and Reformists group (ECR), the political family of Italian Prime Minister Giorgia Meloni, during a debate on Monday.

But this is not the first time the EPP has hinted at its willingness to collaborate with the hard right after the elections. As Euractiv reported in March, the formation of a pro-EU coalition will not be an easy task.  

According to the latest Europe Elects projections for the EU elections, the centre-right EPP, the socialists (S&D) and the liberals (Renew) could have a safe 409-seat majority. 

Read here the full story.  

Meanwhile, the first debate for the upcoming European election exposed the weakness of the lead candidate ‘Spitzenkandidat’ system, with low viewing figures and low-profile candidates casting a shadow on the process, experts said. Nick Alipour has more.

Credit rating agency Moody’s is ready to look into the potential credit score implications of the European Investment Bank’s expected expansion into a broader range of defence and military assets, Euractiv’s Anna Brunetti understands. 

Moreover, ministers from France, Germany, and Poland revealed on Monday that the Russian disinformation network “Portal Kombat” has continued growing, with new websites targeting 19 member states and the Western Balkans, and called for more resources to tackle online disinformation ahead of June’s EU elections.

Last but not least, the International Monetary Fund (IMF) Managing Director Kristalina Georgieva said the EU’s multibillion pandemic recovery fund is a “success story” that European policymakers “should not rush to roll back”.

BERLIN | PARIS

The German government said on Monday that it has a “very different standpoint” on French President Macron’s proposal to expand the mandate of the European Central Bank (ECB), casting doubt on the French leader’s vision for the EU’s future. Read more.

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PARIS

Nuclear: €300 million state aid for French small modular reactors. The European Commission has approved a €300 million state aid grant for Nuward, a French developer of small modular nuclear reactors (SMR), to test its technology with more support expected before the project starts in 2030. Read more.

EDINBURGH

Scottish First Minister resigned after power-sharing was terminated. Scottish First Minister Humza Yousaf announced on Monday that he will leave office following his decision to dissolve the governing coalition between his Scottish National Party (SNP) and the Scottish Greens last week. Read more. 

MADRID

The Socialist Party of Spanish Prime Minister Pedro Sánchez would win the general elections if they were held today, according to a fresh poll published on Monday. This means that Sánchez’s “letter to the citizens,” in which he left open the possibility of resigning, may well have worked in the party’s favour. Read more.

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ROME

Italian government, EU disappointed by Russia’s nationalisation of Ariston subsidiary. The Russian government’s recent move to temporarily nationalise Ariston Thermo Rus, a company that sells boilers, water heaters, and heat pumps under the umbrella of the Italian-owned Ariston group, has drawn criticism from the Italian government and the EU. Read more.

Salvini backs controversial EU candidate in move to capture far-right votes — expert. Deputy Prime Minister and Lega leader Matteo Salvini stood by his choice to have suspended Army General and controversial figure Roberto Vannacci run in the EU elections on Monday, which, according to an expert, would be part of an effort to gain support from the far right. Read more.

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LISBON

Portuguese foreign minister calls for boost in EU defence, enlargement budget. The European Union’s long-term budget needs to be strengthened to cover defence spending and enlargement, Portuguese Foreign Minister Paulo Rangel said on Monday as he pointed to EU enlargement being difficult negotiation-wise. Read more. 

PRAGUE | SOFIA

Russian agents who were found to be responsible for blasting ammunition deposits on Czech and Bulgarian territory following year-long investigations will likely lead nowhere as Russia’s non-cooperation currently makes bringing these agents to justice impossible. Read more.

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WARSAW

Polish government wary of president’s nukes declaration. Poland hosting nuclear weapons could be dangerous for the country, Deputy Foreign Minister Andrzej Szejna (Left/S&D) said, commenting on President Andrzej Duda’s recent statement that Poland could do so. Read more.

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CHISINAU

EU needs ‘Marshall Plan’ for Moldova and Ukraine, Sandu says. The EU should develop an ‘equivalent’ version of the World War Two-era US Marshall Plan to fund development projects in Moldova and war-torn Ukraine, Moldovan President Maia Sandu said on Monday. Read more.

• EU: Jobs and Social Rights Commissioner Nicolas Schmit participates in “European Year of Skills – what comes next?” event, organised by the Commission; Participates in “The future is social” event, organised by FEPS;
• Energy Commissioner Kadri Simson holds meetings with Japanese Minister of Economy, Trade and Industry Ken Saitō, Deputy Secretary of the U.S. Department of Energy David Turk, in Turin, Italy;
• Climate Action Commissioner Wopke Hoekstra attends G7 ministers’ meeting on Climate, Energy and Environment, in Turin, Italy; Meets with Japanese State Minister for Environment Tetsuya Yagi; Meets with Minister for Environment of Canada Steven Guilbeault;
• Budget and Administration Commissioner Johannes Hahn receives International Monetary Fund Managing Director Kristalina Georgieva;
• Internal Market Commissioner Thierry Breton hosts Minister for Digital Transformation of Japan Tarō Kōno; Participates in signing of Memorandum of Cooperation on Digital Identities at the occasion of the EU-Japan Digital Partnership, in Brussels;
• International Partnerships Commissioner Jutta Urpilainen receives final report and recommendations of high level expert group on scaling up sustainable finance in low- and middle-income countries;

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[Edited by Sarantis Michalopoulos, Daniel Eck, Liene Lūsīte, Alice Taylor]