EIB Group activities in EU cohesion regions 2023 E-Book

• Herausgeber: European Investment Bank
• Kategorie: Fachliteratur
• Sprache: Englisch

Seitenzahl: 91

Veröffentlichungsjahr: 2024

Beschreibung

This report analyses the EIB Group's activity in cohesion regions in 2023, with particular emphasis on targeted social investments in key systemic enablers in those regions, such as access to essential services (e.g. inclusive healthcare and education, social and affordable housing), digital connectivity and the growth of mid-caps and small and medium-sized enterprises (SMEs), the latter with a particular focus on women entrepreneurs and youth. The Group's support for economic, social and territorial cohesion is presented in relation to its policy objectives, activity sectors, countries of operation, contribution to the United Nations' Sustainable Development Goals (SDGs) and sector-specific project outcomes. While acknowledging convergence between countries, the report's essay section observes an increasing heterogeneity at the regional level. It also provides insights into key barriers to cohesion and illustrates how targeted social investments can help unlock regional labour potential. A selection of case studies showcases the significant social impact that the European Investment Bank Group has achieved through the use of its full range of financial and technical expertise.

Leseprobe

EUROPEAN INVESTMENT BANK GROUP

2023

EIB GROUPACTIVITIES INEU COHESIONREGIONS

Building inclusive communities

About the European Investment Bank

The European Investment Bank Group is the EU bank and the world’s biggest multilateral lender. We finance sustainable investment in small and medium-sized enterprises, innovation, infrastructure, and climate and environment. We have financed Europe’s economic growth for six decades and are at the forefront of EU crisis response, leading the world in climate investment and backing development of the first COVID-19 vaccine. We are committed to triggering €1 trillion in investment in climate and environmental sustainability to combat climate change by the end of this decade. About 10% of all our investment is outside the European Union, where our EIB Global branch supports Europe’s neighbours and global development.

CONTENTS

FOREWORD BY KYRIACOS KAKOURIS

FOREWORD BY ELISA FERREIRA

INTRODUCTION

EIB GROUP ACTIVITY IN COHESION REGIONS IN 2023

KEY FIGURES

EIB LENDING IN COHESION REGIONS

INVESTMENT FOR INCREASED TERRITORIAL AND SOCIAL COHESION

OVERVIEW

CHALLENGES FOR EUROPEAN COHESION

THE LABOUR MARKET DIMENSION

UNLOCKING POTENTIAL THROUGH SOCIAL INVESTMENTS

EIB SECTOR-SPECIFIC PROJECT RESULTS

CASE STUDIES

EIB

EIF – CHANGING LIVES

FOREWORDBY KYRIACOS KAKOURIS

EUROPEAN INVESTMENT BANK VICE-PRESIDENT

As we celebrate 20 years since the biggest enlargement in the European Union’s history, let us also celebrate the achievements of European integration and the success of EU cohesion policy, which has driven two decades of socioeconomic convergence.

Addressing economic and social convergence across the European Union lies at the very heart of the European Investment Bank Group’s mission. In 2021, we adopted an ambitious new orientation for cohesion in which we aimed to increase our lending in both transition and less developed regions, while maintaining our focus on climate action and environmental sustainability.

As you will see in this report, we are delivering on these commitments and devoting other substantial resources to cohesion. Two-thirds of our advisory services target cohesion regions, providing comprehensive support tailored to the needs of public authorities, financial institutions and project promoters. This work is instrumental in speeding up the green and digital transition in these regions.

Cohesion policy is unique as it provides a European framework together with support for specific projects that have a direct impact on economic, social and territorial development and bring tangible benefits to individuals, businesses and local communities. To Europeans it is the most visible face of EU solidarity.

For all these reasons, cohesion remains one of our strategic priorities for the future. As recently announced by EIB President Calviño, the EIB Group aims to contribute to a “modern cohesion policy” – a policy that is more efficient and impactful. People will only come or stay in their city or region if they have affordable housing, and good access to education, healthcare and employment. Without these, regions risk losing skills, talents and people. Without people, regions cannot thrive. Without thriving regions, EU cohesion is at risk and Europe’s competitiveness is undermined.

The path to greater competitiveness and stronger cohesion lies in a holistic approach that brings together all our efforts to leverage the strengths of both the public and private sectors, at both the EU and national levels. Together we are stronger and we can only rise to the challenges ahead by acting in unity and solidarity.

FOREWORDBY ELISA FERREIRA

EUROPEAN COMMISSIONER FOR COHESION AND REFORMS

Jacques Delors said it, and it remains true to this very day: every widening or deepening of Europe must be accompanied by reinforced cohesion. This is the firm foundation on which the European social market economy has been built.

From the creation of the European Economic Community, to the launch of the single market and the Economic and Monetary Union, to several EU enlargements, cohesion policy has been fundamental to every step of European integration. And the need remains: while the EU economy has grown significantly over the past few decades and convergence has taken place, disparities still persist – and could be exacerbated by ongoing and future structural changes. Cohesion policy therefore plays a central role in supporting sustainable development, while correcting market failures and ensuring that the benefits from these key integration milestones are evenly spread across Europe.

Over time, cohesion policy and EIB funding have been a reliable source of support and investment for the EU economy and businesses, delivering public goods for our people.

This is our joint objective with the EIB, which for many decades has been an invaluable partner to the European Commission in the implementation of cohesion policy. Joint initiatives, such as JASPERS and fi-compass, are proof of a successful cooperation that delivers results on the ground, assisting Member States in the implementation of cohesion policy. More recently, our cooperation has evolved to help bring about a fair green transition, through the Public Sector Loan Facility that is part of our Just Transition Mechanism.

I highly appreciate the Bank’s commitment to make cohesion a top priority. In particular, I welcome the Bank’s achievement of devoting at least 40% of its total financing in the European Union to projects in cohesion regions – and its commitment to increase this objective to at least 45% from 2025. EIB-supported cohesion projects provide job and education opportunities, access to public infrastructure and services, and a healthy and sustainable environment. These contribute to balanced regional development that leaves no one behind, strengthening Europe’s economy and society.

Taking stock of achievements also means drawing lessons for the future. And these lessons include the need for simplification, tailored support, and strengthening the administrative capacity of beneficiaries. The European Commission and the EIB will continue working together on this endeavour. We will keep delivering value for our people, proving that economic efficiency and equity are two sides of the same coin.

INTRODUCTION

“No Community could maintain itself nor have a meaning for the people which belong to it so long as some have very different standards of living and have cause to doubt the common will of all to help each Member State to better the condition of its people.” [1]

The European Union’s cohesion policy aims to promote economic, social and territorial cohesion between the different regions of the European Union to achieve a convergence of living standards and prosperity. By tackling regional imbalances, such as differences in gross domestic product (GDP), in employment opportunities, the ability to benefit from globalisation or varying exposures to the negative impacts of climate change, the policy contributes to the harmonious development of the European Union and reduces risks of fragmentation. Cohesion priority regions are defined by the EU cohesion policy map for the current programming period and fall into the two categories: (i) less developed regions, where GDP per inhabitant is less than 75% of the EU average, and (ii) transition regions, where GDP per inhabitant is between 75% and 100% of the EU average. The EU cohesion policy for the 2021-2027 programming period pays special attention to all regions where economic development is below the EU average.

Cohesion was one of the original reasons behind the foundation of the European Investment Bank (EIB) in 1958 and remains one of the EIB Group’s core priorities. Comprising the EIB and the SME-focused European Investment Fund (EIF), the Group provides loans and other financial instruments that complement and leverage EU grants to support investments in cohesion regions. These investments support competitiveness, help regions in their digital and green transitions, and target social inequalities by providing employment and educational opportunities, access to public infrastructure and services, and a healthy and sustainable environment. All the EIB Group’s financing for projects in less developed and transition regions counts towards its cohesion lending. Additionally, the Bank advises public authorities and project promoters in cohesion regions on how to improve the technical and financial quality of their projects, adopt successful investment strategies, strengthen their institutional capacity, and attract funding, notably from the private sector.

In 2021, the EIB adopted a new Cohesion Orientation for 2021-2027 that calls on the Bank to raise its lending in cohesion regions to 45% of its total lending in the European Union by 2025. It also calls for just over half the amount, 23%, to go towards less developed regions. Support for the green transition and innovation are prominent, as is the role of advisory support to accelerate investment. Cohesion has also become a key performance indicator for the EIF, which set a goal of increasing its cohesion-dedicated activity volumes from 38% to 40% by 2023. Overall, the EIB’s lending to cohesion has grown compared to the 2014-2020 programming period, reaching €29.8 billion in 2023, of which €17.1 billion went to less developed regions. A large share of this supports the green transition of cohesion regions (60% in 2021-2023).

This report analyses the EIB Group’s activity in cohesion regions in 2023, with particular emphasis on targeted social investments in key systemic enablers in those regions, such as access to essential services (such as inclusive healthcare and education, social and affordable housing), digital connectivity and the growth of mid-caps and small and medium-sized enterprises (SMEs), the latter with a particular focus on women entrepreneurs and youth. The EIB Group is driven by evidence that investments in productivity, well-being and social cohesion are needed to boost continued growth, regional development and equality of opportunity across the European Union, particularly in today’s evolving and, at times, increasingly polarised environment.

The Group’s support for economic, social and territorial cohesion is presented in relation to its policy objectives, activity sectors, countries of operation, contribution to the United Nations’ Sustainable Development Goals (SDGs) and sector-specific project outcomes. While acknowledging convergence between countries, the report’s essay section observes an increasing heterogeneity at the regional level. It also provides insights into key barriers to cohesion and illustrates how targeted social investments can help unlock regional labour potential. A selection of case studies showcases the significant social impact that the European Investment Bank Group has achieved through the use of its full range of financial and technical expertise.

The Group’s activities in cohesion regions will be shaped by the wider ongoing reflection about the future of cohesion policy. The European Commission’s Ninth Cohesion Report[2] tells a tale of two Unions. Remarkable convergence has taken place, particularly among the countries that joined in the last three waves of enlargement. Cohesion policy has played a central role in these success stories, supporting economic growth, creating jobs and enhancing social cohesion. Meanwhile, stagnation in several regions is also observed, as is an increasing polarisation both across and within regions, including in higher-income countries, as some communities pull ahead while others fall behind. The report stresses the risk that this underutilisation of a region’s or country’s potential may undermine the sustainability of their growth dynamics and their competitiveness. In parallel, the Letta Report[3]