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Presentation by Walter Deffaa, Director General for Regional and Urban policy European Commission

Structural and cohesion funds and the European Semester process –experiences from the past, lessons for the future for the European Structural and Investment Funds Interparliamentary Committee Meeting organised by the Committee on Budgets 22 nd January 2014.

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Presentation by Walter Deffaa, Director General for Regional and Urban policy European Commission

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  1. Structural and cohesion funds and the European Semester process –experiences from the past, lessons for the future for the European Structural and Investment FundsInterparliamentary Committee Meeting organised by the Committee on Budgets22nd January 2014 Presentation byWalter Deffaa, Director Generalfor Regional and Urban policyEuropean Commission

  2. Outline How do European Structural and Investment Funds support growth and jobs in a fundamentally changed environment? • Experience from 2007-2013 programming period during crisis • New perspectives for the period 2014-2020

  3. 1.1 Cohesion Policy delivers in the crisis In the pastCohesion Policy increased GDPbyover 1% on average. Some key achievements 2007-2012: • 594 000 jobs created – at least 262 000 in SMEs • 77 800 start-up companiessupported • 2 700 KM of new or reconstructedRailway • 25 800 KM of new or reconstructedroads • Broadband access for 5 million citizens • Access to clean drinking water for 3.2 million citizens • ESF: 15 Million participants per year But regionaldisparities are againgrowingwith the crisis.

  4. 1.2 Cohesion Policy response to crisis Public Finances under consolidation pressure • Increase in EU advances, an extra EUR 6.2 bn (in 2009) • Increase EU co-financing to max – EUR 28.6 bn • Top up of maximum EU co-financing (to 95%) EUR 1.8 bn for 6 MS Crisis affects all sectors ofthe economy,youth unemployment and SMEs • Broader scope of support: Financial instruments for energy efficiency and working capital for SMEs; social housing; • Thematic reprogramming 2007-13 of EUR 45 bn:Includes work of 2012 Youth / SME action teams with 8 MS

  5. 2.1 ESI Funds 2014-2020 – key pillar of economic policy mix Budget consolidation European Semester Country-specific recommendations Structural reforms Growth support & investment

  6. 2.1 ESI Funds 2014-2020 – key pillar of economic policy mix Budget consolidation Macro-economic conditionality European Semester Country-specific recommendations Preserve growth friendly expenditures Structural reforms Growth support & investment Ex-ante conditionalities Capacity building

  7. 2.2 New Programmes to focus on results A. Focus on medium and long term drivers of growth = thematic + financial concentration: R&D and innovation, SMEs, digital and low carbon economy, labour market, Social Inclusion and Human capital; Youth employment initiative, SME initiativeCustomized to needs: Address Country Specific Recommendations; Smart Specialisation Strategies B. Design strategies for paths to growth and jobs: Identify clearly change sought, robustindicators, reporting, monitoring & evaluationmechanismsPerformance framework and reserve will steer funds to best usewith ma C. Ex-ante conditionalitieswill ensure pre-conditions for effective investment

  8. 2.3 2014: Pivotal Year for Shaping future growth and jobs Translate jointly adopted objectives, regulations, and financial allocations into relevant strategies, objectives and and actions.

  9. Thank You for Your Attention

  10. Cohesion policy 2007-2013 and national counterpart is a significant proportion of public investment in Europe.

  11. Thematic objectives to Deliver Europe 2020 • Research & innovation • Information and communication technologies (ICT) • Competitiveness of Small and Medium-sized Enterprises (SMEs) • Shift towards a low-carbon economy • Climate change adaptation & risk prevention and management • Environmental protection & resource efficiency • Sustainable transport & removing bottlenecks in key network infrastructures • Employment & supporting labour mobility • Social inclusion & combating poverty • Education, skills & lifelong learning • Institutional capacity building & efficient public administrations

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