The Gross National Income (GNI)-based resource is an ‘additional’ resource that provides the revenue required to cover expenditure in excess of the amount financed by traditional own resources, VAT-based contributions and other revenue in any year.

The GNI-based resource ensures that the general budget of the Union is always initially balanced.

The GNI call rate is determined by the additional revenue needed to finance the budgeted expenditure not covered by the other resources (VAT-based payments, traditional own resources and other revenue). Thus a call rate is applied to the GNI of each of the Member States.

Due to this covering mechanism the rate to be applied to the Member States’ gross national income varies from one financial year to another.

Nowadays this resource represents the largest source of revenue of the EU Budget (around 70% of the total financing). For instance the GNI-based contribution for 2017 was EUR 78.6 billion.

The total amount of own resources that may be collected for the EU Budget from Member States in any given year is limited with reference to Member States' GNI. Currently, the total amount of own resources allocated to the Union to cover annual appropriations for payments cannot exceed 1.20 % of the sum of all the Member States' GNI.

The gross national income at market prices is defined in accordance with the European system of national and regional accounts (ESA 2010).

ESA 2010 is an internationally compatible-accounting framework for a systematic and detailed description of a total economy (that is, a region, country or group of countries), its components and its relations with other total economies.

The Commission verifies the sources and methods used by Member States to calculate the GNI.