European finance ministers fell short of achieving any breakthroughs at their meeting in Luxembourg on Friday (12 April) as divisions persisted on whether to prolong the bloc’s multibillion pandemic recovery fund and how the European Investment Bank’s (EIB) lending criteria could be widened to include defence-related assets.
Belgian finance minister Vincent Van Peteghem told reporters following the meeting that there were “different views” among ministers about whether the EU’s €723.8 billion Recovery and Resilience Facility (RRF) should be extended, adding that “some member states… emphasised the one-off nature of the facility.”
Commission executive vice-president Valdis Dombrovskis, however, defended the “ground-breaking” nature of the fund, whose “design and flexibility have helped us to tackle new challenges, such as high inflation [and] energy security issues.”
“The RRF re-assured financial markets on the EU’s resolve to tackle the Covid-19 challenges, ensured a rapid flow of funds to member states in a time of great difficulty, played a key rule in preserving public investments and sustained a solid recovery, returning the EU economy to pre-pandemic levels sooner than expected,” Dombrovskis said.
Meanwhile, Van Peteghem noted that “on specific issues, further discussion is needed” on how the EIB could potentially step up support for Europe’s security and defence industry.
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However, he said there was still “large support amongst ministers to move forward” with an “action plan” — the outline of which was presented to ministers on Friday by EIB president Nadia Calviño.
Before the meeting, Calviño informed reporters that her plan would include the results of a two-month investigation into the “definition” of so-called dual-use technologies, as called for by EU finance ministers in February.
The EIB’s current mandate limits the range of permissible defence-related investments to dual-use items that should be used mostly for civilian and military purposes.
Most of the technology’s expected future revenue must also derive from its civilian use.
The bank is explicitly prohibited from investing directly in weapons, ammunition, and “core” military infrastructure.
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Panaceas for Europe’s investment and security needs?
The RRF and the EIB have been objects of growing attention by European policymakers in recent months.
The RRF is viewed by many as a source of much-needed financing for member states still reeling from the twin shocks of the COVID-19 pandemic and subsequent energy crisis.
However, several of the so-called ‘frugal’ EU countries — including Germany, the bloc’s largest economy — are resistant to extending the facility beyond its scheduled expiry in 2026.
Meanwhile, the EIB — the world’s largest multilateral lender by assets — is seen by many member states as a potential tool to boost European defence expenditure, as Russia’s war in Ukraine continues to rage into its third year and member states assess ways to step up their defence capacity.
Last month, the European Council “invited” the EIB “to adapt its policy for lending to the defence industry and its current definition of dual-use goods, while safeguarding its financing capacity.”
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In February the European Parliament called on the bank to “enhance its support… to the European defence industry,” urging it to overhaul its investment eligibility criteria “so that ammunition and military equipment that go beyond dual-use application are no longer excluded from EIB financing.”
However, several stakeholders have expressed deep concern about the EIB’s possible move into defence-related spending, citing the possibility of the bank losing its high ESG and triple-A credit ratings.
‘No discussion of scandal’
Van Peteghem, whose country currently holds the rotating presidency of the Council of the EU, told reporters that there had been “no discussion” among ministers about the recent scandals involving RRF financing.
Last week, the European Public Prosecutor’s Office (EPPO) announced that 22 individuals had been arrested in Italy, Austria, Romania and Slovakia for embezzling €600 million in RRF funds.
In an interview with Euractiv on Tuesday (9 April), European Court of Auditors president Tony Murphy said that the facility’s scheduled expiry by the end of 2026 is “contributing to the risk” of the funds’ misappropriation by amplifying “pressure on member states to spend this money quickly.”
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“That in itself inherently raises the risk of people being opportunistic and taking advantage of shortcuts or whatever might be there,” he said.
Murphy stressed that a lack of central oversight was “amplifying” the likelihood of the funds’ misuse.
His comments came on the same day that European Commissioner for Economy Paolo Gentiloni called for the RRF to be used as a “blueprint” for future EU funding programmes — arguing that the bloc would “benefit hugely from a permanent, safe asset commensurate with the size of its economy, and this will be a big issue to discuss for the next Commission.”
Agreed at the height of the COVID-19 pandemic in December 2020, the RRF comprises €385.8 billion worth of loans and €338 billion in grants, financed through debt jointly underwritten by EU member states.
The funds, the flagship component of the bloc’s NextGenerationEU (NextGenEU) initiative, are intended to boost Europe’s post-pandemic recovery by financing green, digital, and other critical investments in exchange for targeted reforms.
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[Edited by Anna Brunetti/Rajnish Singh]
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My spreadsheet reviewed a WalletHub ranking of financial distress for the residents of 100 U.S. cities, including 17 in California. The analysis compared local credit scores, late bill payments, bankruptcy filings and online searches for debt or loans to quantify where individuals had the largest money challenges.
When California cities were divided into three geographic regions – Southern California, the Bay Area, and anything inland – the most challenges were often found far from the coast.
The average national ranking of the six inland cities was 39th worst for distress, the most troubled grade among the state’s slices.
Bakersfield received the inland region’s worst score, ranking No. 24 highest nationally for financial distress. That was followed by Sacramento (30th), San Bernardino (39th), Stockton (43rd), Fresno (45th), and Riverside (52nd).
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Southern California’s seven cities overall fared better, with an average national ranking of 56th largest financial problems.
However, Los Angeles had the state’s ugliest grade, ranking fifth-worst nationally for monetary distress. Then came San Diego at 22nd-worst, then Long Beach (48th), Irvine (70th), Anaheim (71st), Santa Ana (85th), and Chula Vista (89th).
Monetary challenges were limited in the Bay Area. Its four cities average rank was 69th worst nationally.
San Jose had the region’s most distressed finances, with a No. 50 worst ranking. That was followed by Oakland (69th), San Francisco (72nd), and Fremont (83rd).
The results remind us that inland California’s affordability – it’s home to the state’s cheapest housing, for example – doesn’t fully compensate for wages that typically decline the farther one works from the Pacific Ocean.
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A peek inside the scorecard’s grades shows where trouble exists within California.
Credit scores were the lowest inland, with little difference elsewhere. Late payments were also more common inland. Tardy bills were most difficult to find in Northern California.
Bankruptcy problems also were bubbling inland, but grew the slowest in Southern California. And worrisome online searches were more frequent inland, while varying only slightly closer to the Pacific.
Note: Across the state’s 17 cities in the study, the No. 53 average rank is a middle-of-the-pack grade on the 100-city national scale for monetary woes.
Jonathan Lansner is the business columnist for the Southern California News Group. He can be reached at jlansner@scng.com
The up-and-coming fintech scored a pair of fourth-quarter beats.
Diversified fintech Chime Financial(CHYM +12.88%) was playing a satisfying tune to investors on Thursday. The company’s stock flew almost 14% higher that trading session, thanks mostly to a fourth quarter that featured notably higher-than-expected revenue guidance.
Sweet music
Chime published its fourth-quarter and full-year 2025 results just after market close on Wednesday. For the former period, the company’s revenue was $596 million, bettering the same quarter of 2024 by 25%. The company’s strongest revenue stream, payments, rose 17% to $396 million. Its take from platform-related activity rose more precipitously, advancing 47% to $200 million.
Image source: Getty Images.
Meanwhile, Chime’s net loss under generally accepted accounting principles (GAAP) more than doubled. It was $45 million, or $0.12 per share, compared with a fourth-quarter 2024 deficit of $19.6 million.
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On average, analysts tracking the stock were modeling revenue below $578 million and a deeper bottom-line loss of $0.20 per share.
In its earnings release, Chime pointed to the take-up of its Chime Card as a particular catalyst for growth. Regarding the product, the company said, “Among new member cohorts, over half are adopting Chime Card, and those members are putting over 70% of their Chime spend on the product, which earns materially higher take rates compared to debit.”
Today’s Change
(12.88%) $2.72
Current Price
$23.83
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Key Data Points
Market Cap
$7.9B
Day’s Range
$22.30 – $24.63
52wk Range
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$16.17 – $44.94
Volume
562K
Avg Vol
3.3M
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Gross Margin
86.34%
Double-digit growth expected
Chime management proffered revenue and non-GAAP (adjusted) earnings before interest, taxes, depreciation, and amortization (EBITDA) guidance for full-year 2026. The company expects to post a top line of $627 million to $637 million, which would represent at least 21% growth over the 2024 result. Adjusted EBITDA should be $380 million to $400 million. No net income forecasts were provided in the earnings release.
It isn’t easy to find a niche in the financial industry, which is crowded with companies offering every imaginable type of service to clients. Yet Chime seems to be achieving that, as the Chime Card is clearly a hit among the company’s target demographic of clientele underserved by mainstream banks. This growth stock is definitely worth considering as a buy.
ROCHESTER, N.Y. — Student athletes are now earning real money thanks to name, image, likeness deals — but with that opportunity comes the need for financial preparation.
Noah Collins Howard and Dayshawn Preston are two high school juniors with Division I offers on the table. Both are chasing their dreams on the field, and both are navigating something brand new off of it — their finances.
“When it comes to NIL, some people just want the money, and they just spend it immediately. Well, you’ve got to know how to take care of your money. And again, you need to know how to grow it because you don’t want to just spend it,” said Collins Howard.
What You Need To Know
High school athletes with Division I prospects are learning to manage NIL money before they even reach college
Glory2Glory Sports Agency and Advantage Federal Credit Union have partnered to give young athletes access to financial literacy tools and credit-building resources
Financial experts warn that starting money habits early is key to long-term stability for student athletes entering the NIL era
Preston said the experience has already been eye-opening.
“It’s very important. Especially my first time having my own card and bank account — so that’s super exciting,” Preston said.
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For many young athletes, the money comes before the knowledge. That’s where Glory2Glory Sports Agency in Rochester comes in — helping athletes prepare for life outside of sports.
“College sports is now pro sports. These kids are going from one extreme to the other financially, and it’s important for them to have the tools necessary to navigate that massive shift,” said Antoine Hyman, CEO of Glory2Glory Sports Agency.
Through their Students for Change program, athletes get access to student checking accounts, financial literacy courses and credit-building tools — all through a partnership with Advantage Federal Credit Union.
“It’s never too early to start. We have youth accounts, student checking accounts — they were all designed specifically for students and the youth,” said Diane Miller, VP of marketing and PR at Advantage Federal Credit Union.
The goal goes beyond what’s in their pocket today. It’s about building habits that will protect them for life.
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“If you don’t start young, you’re always catching up. The younger you start them, the better off they’re going to be on that financial path,” added Nihada Donohew, executive vice president of Advantage Federal Credit Union.
For these athletes, having the right support system makes all the difference.
“It’s really great to have a support system around you. Help you get local deals with the local shops,” Preston added.
Collins-Howard said the program has given him a broader perspective beyond just the game.
“It gives me a better understanding of how to take care of myself and prepare myself for the future of giving back to the community,” Collins-Howard said.
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“These high school kids need someone to legitimately advocate their skills, their character and help them pick the right space. Everything has changed now,” Hyman added.
NIL opened the door. Programs like this one make sure these athletes walk through it — with a plan.
