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www.fh-joanneum.at
MANAGEMENT
What is its purpose?
•
The EU is one of the world’s most prosperous economic zones
•
But huge disparities exist among the 271 EU regions –
weakens
the EU’s dynamism
•
Hence the political goal of reducing the gaps in development
www.fh-joanneum.at
MANAGEMENT
How does it do this?
Regional policy interventions to reduce disparities and promote
economic convergence are spread through 3 funds:
•
ERDF: European Regional Development Fund
•
ESF: European Social Fund
and…
•
Cohesion Fund (applies to MS with <90% average GNI and
covers the new member states as well as Greece and Portugal.
Spain is eligible on a transitional basis)
….financing thousands of project across Europe each year
www.fh-joanneum.at
MANAGEMENT
Why do we bother?
It is in the treaty
“to promote economic and social
cohesion by reducing disparities between
the regions”
Leaving disparities in place is not
an option
that
would wreck two of
the policies on which Europe’s
growth has been based: the single
market and the European Monetary
Union (EMU)
www.fh-joanneum.at
MANAGEMENT
<50
50 - 75
75 - 90
90 - 100
100 - 125
125
Differences in
development in the EU-27
GDP per head as a % of the
community average
www.fh-joanneum.at
MANAGEMENT
EU 27 Member States GDP per capita in PPS in 2006
Source: Eurostat structural indicators (EU 27= 100)