The European Union has proposed a budget of close to €2 trillion ($2.3 trillion) for its next seven-year period, as it seeks to fend off a range of challenges from rising global economic competition to increased defense demands.

The European Commission on Wednesday proposed to tax companies with a net turnover exceeding 100 million euros ($116 million), one of five new revenue streams aimed at generating 58.5 billion euros annually for the European Union's next seven-year budget.

The European Union's financial capabilities depend on this bill, which was presented to members of the European Parliament on Wednesday. It sets the amount of available resources for seven years, distributes them among the 27 member states and allocates funds to the various EU-wide policies.