The British people can be happy that "we cut the European

7-year credit card limit for the first time ever", Cameron told a news conference. As a result, the EU budget would cost Britain less than 1 per cent of Europe's national income, he said. The next budget will also reduce the EU spending to finance its Common Agricultural Policy and will "enable the union to do things it should in a way it can afford", Cameron said. "It will promote growth, encourage research and development and will help the newest members to make for the decades which they lost under the communism," he added. He said he also successfully fought off attempts to undermine the rebate which Britain receives from the EU and ensured that "the rebate is safe". French President Francois Hollande spoke of a "good compromise", even though the budget cap agreed was lower than 913 billion euros he wanted. French demands have been met to a large extent. "We can say that we have achieved our goals," he told a news conference. Above all, France could safeguard its EU subsidies in the agricultural sector, he said. France is one of the main beneficiaries of the common agricultural policy. German chancellor Angela Merkel welcomed the agreement as "good and important". It provides clarity for the planning and execution of various important projects, she said, adding it is also an expression of solidarity among the EU member-nations. Out of the 960 billion euro budget framework agreed, 373.5 billion euros is earmarked for the agriculture sector, 47 billion euros less than in the current budget. The second largest share of the budget amounting to 324.7 billion euros will be given to finance the structural funds. Allocations to finance investments in the areas of fostering growth, competitiveness and employment will be raised from 34 billion euros to 125.7 billion euros. A total of 61.6 billion euros has been earmarked for financing the EU administration while 58.8 billion euros will be given to support the union's development aid programmes and its foreign policy projects.