
A new study conducted by Zareh Astryan, a professor of economics at the University of Münster, suggests that the budget of 392 billion euros allocated to support poor regions in the European Union yields a low economic return. In the context where officials from the wealthy countries in the north and west of the EU advocate for redirecting cohesion funds to other priorities, the governments of the beneficiary countries are calling for their maintenance.
The analysis shows that every euro spent under the cohesion policy generates only one additional euro in GDP, and the impact on productivity and innovation is uneven. Criticism of cohesion funds comes at a tense moment, with a recent resolution from the European Committee of the Regions rejecting the merging of funds for regional development and agriculture. Regions are urging European institutions to stop these proposals, emphasizing the importance of funds for infrastructure and economic development.
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