The European Commissioner for Economy today defended the creation of a pan-European program, based on guarantees from the community budget, to boost private investment in the European Union (EU) post-2027, after the Recovery and Resilience Plans (PRR).
“Instruments like InvestEU and the Recovery and Resilience Mechanism [which finances the RRPs] are making a significant contribution to closing this investment gap” and that is why, looking beyond 2027, I believe there are strong arguments in favor of another pan-European program based on a budget guarantee to mobilize private investments in strategic areas», defended Paolo Gentiloni.
Speaking at a high-level event in Brussels, on investment in the EU and focused on the InvestEU program, the European head of supervision highlighted that this new program could be supported by the «excellent relationships and precious expertise of the European Investment Bank».
“Europe’s investment challenges will not end with the planned completion of the Recovery and Resilience Facility in 2026 and InvestEU in 2027. The changing economic and geopolitical landscape requires us to increase investment in strategic industries, energy security, defense and reconstruction of Ukraine", argued Paolo Gentiloni.
For the Italian official, "reflection on how to finance these common European priorities within the scope of the EU's next multiannual budget must begin now."
Based on budgetary guarantees provided through the Union budget, InvestEU plans to mobilize €372 billion in additional investments between 2021-27.
At a time when InvestEU is halfway through its implementation, 90% of the €26 billion EU guarantee has already been used and more than 70% has already been approved by the investment committee.
To date, the financing of more than 170 investment projects has been authorized, which will mobilize an estimated amount of 225 billion euros of investment in areas seen as priorities for the future of Europe.
It is estimated that for the EU to achieve its digital and 'green' objectives it will have to make an additional investment estimated at 650 billion euros per year.
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