In this edition: Exclusive conversations with IMF Managing Director Kristalina Georgieva and European Commissioner for Migration Magnus Brunner.

Good morning. Mared Gwyn brings you the Friday newsletter.

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If last night’s football World Cup opener in Mexico City’s historic Estadio Azteca passed unnoticed—featuring a dynamic show by Colombian icon Shakira, three red cards, and a strong victory for the home side—we have a summary ready for you.

First, the IMF chief Kristalina Georgieva shared with Europe Today that the EU is navigating a “challenging balancing act” amid the economic repercussions of the Iran conflict.

“Regrettably, conditions have deteriorated since we issued our forecast for European growth and inflation in April,” Georgieva stated. “The situation is now more severe, prompting us to revise downward our forecasts for the Eurozone and upward for inflation.”

The IMF’s head also urged the EU to guarantee that its budget, currently being negotiated, possesses the “capacity to boost productivity and growth within Europe,” emphasizing the importance of “joint financing where Europe’s collective impact is stronger” — an endorsement of expanded joint borrowing. Watch.

EU migration chief aims to align with the Pope: As the EU’s comprehensive new asylum and migration framework takes effect today, the EU migration commissioner Magnus Brunner told Euronews that Brussels shares the perspective of Pope Leo XIV regarding migrant protections.

When questioned about Pope Leo’s statements during his visit to Spain’s Canary Islands yesterday—where he delivered an open-air mass and asserted that history will judge harshly leaders who overlook migrant deaths—Brunner told my colleague Angela Skujins: “I met the Pope months ago and had a discussion with him focused precisely on this issue.”

“Indeed, human dignity and international law are central to the (EU’s) reforms,” he added. “As the European Union, we have the duty to shield those whose lives are endangered in their home countries, and that is exactly what we strive to accomplish.”

Brunner’s remarks coincide with Pope Leo’s visit to Spain—a nation defying the EU’s more restrictive migration stance—where the pontiff met with migrants and humanitarian workers on Gran Canaria, part of the Spanish archipelago that has become a key destination along a major migration route from West Africa across the Atlantic.

The comments also come just before the enforcement of the EU’s new Migration Pact, a broad regulation designed to accelerate asylum processes, redistribute responsibilities from southern frontline states, and expedite returns of migrants deemed ineligible to stay within the EU.

These measures respond to increasing public demand for stricter migration policies and reflect a notable rightward shift in many European governments, yet critics argue they undermine fundamental migrant and refugee rights.

On Thursday, the Pope issued a subtle critique of the changing political discourse on migration, stating that “human dignity transcends passports and does not diminish upon crossing borders.”

A contentious element of the EU’s reform is the possibility for member states to establish “return hubs” outside EU territory, intended for deporting rejected asylum seekers.

The Pact has been criticized for its failure to guarantee genuine solidarity among member countries. Only about 9,000 relocations are anticipated under the voluntary solidarity mechanism—which allows frontline states to transfer asylum seekers to less-pressurized EU countries—well below the minimal target of 30,000 relocations.

Today’s agenda: EU ambassadors will convene at 18:00 CET (yes, on a Friday) to deliberate, among other topics, a unified stance to initiate the first group of accession negotiations with Ukraine and Moldova. This common position is a crucial prerequisite for the intergovernmental conference planned next Monday.

Diplomats tell my colleague Jorge Liboreiro that reaching an agreement on Friday is highly probable. Since Hungary lifted its veto last week, the internal process has proceeded smoothly. It is important to highlight that the common position was drafted months ago, anticipating this breakthrough, and includes a rule of law roadmap and a minority rights action plan which were controversial issues between Budapest and Kyiv.

Nonetheless, ambassadors face additional tasks. On Sunday, they will hold their initial discussion on the revised budget proposal introduced by the Cypriot presidency. The so-called nego-box was formally revealed yesterday by Cyprus, featuring a 2% reduction equating to €32.8 billion.

Unsurprisingly, the proposal has met resistance. The Netherlands and Sweden, two outspoken “frugal” countries, promptly dismissed it as a “no-go box” (kudos for the pun). The Dutch finance minister described it as “unaffordable, imbalanced, and misguided.” The self-designated “Friends of Cohesion” expressed displeasure too, as the 2% cut affects cohesion and agricultural funds—two politically sensitive areas. Italy’s Giorgia Meloni condemned the rebates granted to wealthy nations.

Anticipating backlash, Marilena Raouna, Cyprus’s deputy minister for European affairs, defended the proposal as a “balanced” compromise between “strong and opposing” political camps. “This was set from the start,” Raouna stated to reporters. “Nevertheless, we all agree that this budget must enable the Union to meet its strategic priorities.”

More on the nego-box.

Kallas defends EU diplomatic service amid intensifying debate about its future

EU foreign policy chief Kaja Kallas has publicly supported her own department in an internal email obtained by Euronews, as talks among key European capitals about reforming the bloc’s diplomatic apparatus intensify.

The European External Action Service (EEAS) and the mandate of the High Representative for Foreign Affairs and Security Policy face increased scrutiny as EU governments aim to streamline foreign policy in an increasingly unpredictable global environment.

Paris is spearheading efforts to outline reforms for the EU’s diplomatic service, circulating a discussion paper with varied proposals. Some ideas would limit the High Representative’s powers—currently held by Kallas—while others suggest expanding her authority in critical policy domains.

“The relationship between the EEAS, the Commission, and member states has been under review since the service’s inception. Given the extraordinary geopolitical challenges confronting us, it is expected that these discussions intensify and receive renewed focus,” wrote Kallas in the internal email seen by Euronews on Thursday.

Maria Tadeo and Luca Bertuzzi provide more details.

Additional updates from our newsrooms

EU acts to buffer households against energy price spikes amid new carbon costs. With the bloc expanding its carbon market to buildings and road transport, Brussels plans to reinforce a financial instrument aimed at stabilizing incoming carbon costs for heating and fuel starting in 2028. Marta Pacheco reports.

Albanian PM intensifies claims of Iranian cyberterrorism amid ongoing protests. Edi Rama reiterates accusations that Iranian cyberattacks fuel disinformation during demonstrations demanding his resignation—triggered by a coastal real estate project linked to Donald Trump’s family. Simon Ormiston brings the story.

US imposes sanctions on Cuba’s oil and gas company, accusing it of weaponizing energy resources. The US government announced sanctions on Cuba’s state-owned oil and gas firm on Thursday, an action expected to heighten tensions between both countries, Rafael and Salido alongside Gavin Blackburn explain.

Also on our radar

EU economy and finance ministers meet in Luxembourg, with expected talks on extending Europe’s carbon pricing system—which charges a fee on CO2 emissions driving climate change.
Informal Ministerial Conference marking the entry into force of the EU Pact on Migration continues in Nicosia, Cyprus.
European Parliament President Roberta Metsola visits Slovakia and holds talks with Prime Minister Robert Fico.

This concludes today’s briefing. Jorge Liboreiro contributed to this newsletter. The next update arrives Monday.