The budget will aim to stimulate the creation of jobs, boost growth and support efforts to effectively deal with the migration challenge inside and outside the EU, the European Commission said. 

Commissioner Günther Oettinger said: “This is a budget for all.

“It will go to create more jobs, more growth, more investments. It will help young people find jobs and internships.”

He added: “It will help making Europe more secure. Every euro must be spent efficiently and create added value for Europe.”

After a 17-hour negotiating session, representatives from the European Parliament and the Council agreed that the €160.1bn in commitments and €144.7bn in payment credits – up 14.1% compared to 2017. 

Nearly half of the commitments, €77.5bn, will go to the European economy, making universities more competitive, and enable companies to be more competitive on the global market, the commission said.

European farmers will also get €59bn in support and nearly €4.31bn will be dedicated to managing migration and tackling security challenges.

The budget will also put €350m towards a Youth Employment Initiative, which seeks to address youth unemployment in member states.

The European Parliament and the Council will have to formally approve the budget text within 14-days from the agreement was reached on 18 November.