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European UnionRegional Policy – Employment, Social Affairs and Inclusion

TheThe impact of the impact of the Multiannual Financial Multiannual Financial

Framework (MFF) 2014-2020 Framework (MFF) 2014-2020 on on

EU Cohesion PolicyEU Cohesion Policy

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European UnionRegional Policy – Employment, Social Affairs and Inclusion

MFF: More Europe for the same money

• MFF fully geared to support the objectives of the Europe 2020 strategy

• Budget limited in size (i.e. commitment level of 2013 x 7 years = € 1033 Billion in 2011 prices = 1.08 % of EU GNI)

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European UnionRegional Policy – Employment, Social Affairs and Inclusion

A significant share for Cohesion Policy (1/3 of total budget)

COMPARISON MFF 2007-13/2014-20

Billion € in 2011 prices

Difference (in %)2007-2013 2014-2020

1. Smart and Inclusive Growth 445.5 494.7 11.0%

Of which Cohesion Policy 354.8 338.9 -4.5%

Of which infrastructure (Connecting Europe Facility) 12.9 40.3 212.4%

Of which Competitiveness (CSF research & innovation; Education; Galileo etc) 77.8 115.5 48.5%

2. Sustainable Growth: natural resources 421.1 386.5 -8.2%

Of which Market related expenditure and direct payments 322.0 283.0 -12.1%

3. Security and Citizenship 12.4 18.8 51.6%

4. Global Europe 56.8 70.0 23.2%

5. Administration (including pensions and European schools) 56.9 63.2 11.1%

Of which administrative expenditure of EU institutions 48.4 51.0 5.4%

Total commitment appropriations 993.6 1 033.0 4.0%

In % of EU-27 GNI 1.12% 1.08%  

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European UnionRegional Policy – Employment, Social Affairs and Inclusion

New architecture of Cohesion Policy

• Three categories of regions – Less developed regions (GDP per capita < 75% of EU average)– Transition regions (GDP per capita between 75% and 90%)– More developed regions (GDP per capita > 90%)

• Cohesion Fund for Member States with GNI per capita <90%

• Territorial cooperation (3 strands: cross-border, transnational, interregional cooperation)

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European UnionRegional Policy – Employment, Social Affairs and Inclusion

Difference in population covered between 2007-13 and 2014-20

million inhabitants and (in parenthesis) number of regions

2007-2013 2014-2020

Convergence154.7 123.3

Less developed(84) (69)

Phasing-in and -out36.5 68.7

Transition(28) (52)

Competitiveness307.1 306.3

More developed(159) (150)

Total498.4

Total(271)

* based on GDP/head figures (2007-2008-2009)

Success of Cohesion Policy:

31 million inhabitants in 15 regions move out of the Convergence objective

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European UnionRegional Policy – Employment, Social Affairs and Inclusion

Budget for Cohesion Policy post 2013  billion EUR (2011 prices)

Cohesion Fund* 70.7

Less developed regions 163.6

Transition regions 36.5

More developed regions 55.4

Cooperation 11.9

Extra allocation for outermost and northern regions 0.9

TOTAL 339

Connecting Europe facility for transport, energy and ICT 40.3

TOTAL 379.3

* Cohesion Fund will ringfence 10 billion EUR for the new Connecting Europe Facility

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European UnionRegional Policy – Employment, Social Affairs and Inclusion

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European UnionRegional Policy – Employment, Social Affairs and Inclusion

On the basis of latest GNI figures, Cyprus will benefit from phasing-out of Cohesion Fund

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European UnionRegional Policy – Employment, Social Affairs and Inclusion

Thank you for your attention!