France and Germany have proposed a European Recovery Fund worth EUR 500bn (USD543.50 billion) to help the European Union to quicker overcome the crisis caused by the coronavirus pandemic.

Reuters reports that German Chancellor Angela Merkel has made the announcement about the proposal after bilateral talks with French President Emmanuel Macron, which were held during a video conference.

“We must act, we must act in a European way so that we get out of the crisis well and strengthened,” Merkel said, adding that the new fund would provide grants to countries and regions most affected by the crisis.