Brussels - European Union leaders clinched a deal Thursday on spending 5 billion euros (6.8 billion dollars) in community funds, diplomats said.

The agreement was reached after the EU's biggest contributor, Germany, received assurances that the money would only be spent on projects that are capable of being implemented by 2010.

The deal, which came after fourth months of haggling, marks a victory for European Commission President Jose Manuel Barroso, who in November had called on member states to use part of the EU budget to finance projects on boosting fast internet connections, offshore wind farms, carbon capture and storage facilities, and energy interconnections. (dpa)