German Chancellor Angela Merkel and her French counterpart Emmanuel Macron have agreed to set up a single budget for the eurozone.
The new budget, announced on Tuesday, aims to boost investment and promote economic convergence among all 19 member states.
The two leaders hope to have it in place by 2021, but little details were given on how the new budget will be financed.
The pair also touched upon the bloc's migration crisis, saying they would push for greater solidarity among EU states to ensure a common response.