• Sat. May 4th, 2024

European Funds and GDP Growth: New AIReF Tool Highlights the Reality of Impact

BySamantha Jones

Apr 24, 2024
AIReF finds that only 18.9 billion of European funds have contributed to a 24% increase in GDP

On Wednesday, the Independent Fiscal Responsibility Authority (AIReF) released a new tool to analyze the impact of European funds associated with the Recovery Plan on the economy. According to the data, only 18.9 billion euros of these funds have contributed to the growth of Gross Domestic Product (GDP), representing 24% of the total subsidies allocated. This amount has been executed in terms of National Accounting, which AIReF believes is the most accurate reflection of the funds that have reached the real economy.

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The impact on GDP from these funds has been primarily through investment, although it is still below pre-pandemic levels. The Government’s updated execution figure is 35,190 million euros, with AIReF assuming that the remaining funds will be executed by 2026. While AIReF acknowledges challenges as the deadline approaches, for now, they include all funds in their scenario. AIReF emphasizes the importance of timely execution to ensure optimal economic impact.

By Samantha Jones

As a content writer at newsnnk.com, I weave words into captivating stories that inform and engage our readers. With a passion for storytelling and an eye for detail, I strive to deliver high-quality and engaging content that resonates with our audience. From breaking news to thought-provoking features, I am dedicated to providing informative and compelling articles that keep our readers informed and entertained. Join me on this journey as we explore the world through the power of words.

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