Brussels:The Economic and Financial Affairs Council (ECOFIN) concluded its meeting in Brussels, where Cyprus was represented by Finance Minister Makis Keravnos. During the session, the Council examined a compromise proposal from the Irish Presidency concerning tobacco taxation but failed to reach an agreement among all member states.

According to Cyprus News Agency, the Irish Presidency's proposal aimed to modernize the EU's framework for tobacco excise duties, extend its scope to new products, and improve the internal market's functionality, while also contributing to public health objectives. Despite the support from Cyprus's Finance Minister, Makis Keravnos, who described the proposal as "balanced," consensus was not achieved.

Ministers also discussed the economic impact of EU legislation on businesses and the public sector. They emphasized the necessity of thorough impact assessments for all EU-level legislation and welcomed efforts to simplify existing processes. Additionally, discussions covered the economic and fiscal impact of Russia's invasion of Ukraine and progress on the Recovery and Resilience Facility.

The Council adopted recommendations to extend Italy's national escape clause for expenditures related to strengthening defense and energy security. They also received a briefing on the G20 finance ministers and central bank governors' meeting held in Bangkok on October 15, 2026.

In a separate Eurogroup meeting, ministers reviewed macroeconomic developments in the eurozone, noting its resilience despite challenges such as higher energy prices and inflation. They underlined the importance of monitoring these issues closely and implementing the economic governance framework effectively.

In an enlarged format that included all EU member states, the ministers discussed enhancing the efficiency of defense financing. They recognized the need for increased investment in defense and security without compromising public finance sustainability. Makis Keravnos highlighted the importance of strengthening the EU's defense capabilities through investments in research and innovation, specifically supporting start-ups across member states. He also noted that any third country participating in EU defense programs must respect the sovereignty of EU member states.