The European Commission says it will redirect every available euro in the EU budget to tackle the coronavirus crisis.
It is set to mobilise 100 billion euro in loans to facilitate the creation of short-term work schemes in all member states.
The SURE initiative loans will be directed to countries where they are most urgently needed.
EU Commission President Ursula von der Leyen says the loans will allow businesses to bounce back quickly from the covid-19 economic downturn.
"It can mitigate the effects of the recession, it keeps people in work, it enables companies to return to the market with renewed vigour.
"The Commission will provide loans to those member states that need them to soften their shiot term work schemes."
