On Tuesday, Mario Draghi outlined his plan to improve Europe’s competitiveness through closer cooperation in critical areas and substantial investment in shared objectives.
The author of a report on European competitiveness requested by the President of the European Commission, Ursula von der Leyen, stated that the EU needed to focus on three critical issues: closing the innovation gap with the US and China, developing a joint plan to connect the goal of decarbonisation with increased competitiveness, and enhancing Europe’s security while reducing its reliance on foreign economic powers.
Mario Draghi emphasised that maintaining the European way of life would depend on improving competitiveness, which requires closer cooperation and integration among Europe’s nations. He proposed an annual funding of between EUR 750 – and EUR 800 billion for projects with objectives already agreed upon by the EU. While some of this funding could come from private sources, a portion would need to be secured through public investment, including issuing new common debt to fund key joint projects.
Following his address, a debate ensued, and many MEPs agreed with his analysis that the EU economy must urgently change course. They suggested that the EU should focus on competition and innovation in key industries, along with increased public and private investments in social, green, and digital transformations. Some MEPs called for greater sovereignty and more accessible markets, emphasising that combating climate change undermines the EU economy. Others pointed out that growth is compatible with clean, innovative technologies and social investment, which can help citizens adapt their skills.
