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China: Economic indicators and trade with EU

03-12-2019

China's economy is slowing from past two-digit growth rates to a 'new normal' growth rate of 'only' 6.5% on average under the current five-year plan (2016-2020). To what extent does this slowdown affect China's public finances and other macroeconomic indicators? How has EU trade with China developed during the last decade? How important is the EU for China in terms of trade? And what about China's trade relevance for the EU? Has the huge trade imbalance in goods trade between China and the EU narrowed ...

China's economy is slowing from past two-digit growth rates to a 'new normal' growth rate of 'only' 6.5% on average under the current five-year plan (2016-2020). To what extent does this slowdown affect China's public finances and other macroeconomic indicators? How has EU trade with China developed during the last decade? How important is the EU for China in terms of trade? And what about China's trade relevance for the EU? Has the huge trade imbalance in goods trade between China and the EU narrowed in recent years? How intensive is trade in services between the EU and China? What are the EU's main export items to China? How does China's export basket look like? You can find the answers to these and other questions in our EPRS publication on China produced in collaboration with the European University Institute's GlobalStat on the world's main economies. This is an updated edition of an ‘At a Glance’ note published in October 2018.

A new neighbourhood, development and international cooperation instrument

29-11-2019

In the context of the Commission's proposal for a multiannual financial framework (MFF) for the 2021-2027 period, on 14 June 2018 the Commission published a proposal for a regulation establishing the Neighbourhood, Development and International Cooperation Instrument (NDICI), with a proposed budget of €89.2 billion (in current prices). Parliament adopted its first-reading position in plenary on 27 March 2019. MEPs agreed to accept a single instrument, but called for a stronger role for Parliament ...

In the context of the Commission's proposal for a multiannual financial framework (MFF) for the 2021-2027 period, on 14 June 2018 the Commission published a proposal for a regulation establishing the Neighbourhood, Development and International Cooperation Instrument (NDICI), with a proposed budget of €89.2 billion (in current prices). Parliament adopted its first-reading position in plenary on 27 March 2019. MEPs agreed to accept a single instrument, but called for a stronger role for Parliament on secondary policy choices, through delegated acts, and for the budget for the instrument to be increased by nearly €4 billion, to €93.154 billion. MEPs also specifically called for an increase in the funds allocated to human rights and democracy activities, the percentage of funding that fulfils the criteria for official development assistance, and funds that support climate and environmental objectives. Moreover, Parliament's amendments include the introduction of gender mainstreaming targets, the earmarking of certain financial allocations, the suspension of assistance in case of human rights violations, and the reduction of the emerging challenges and priorities cushion to €7 billion. The Council adopted a partial mandate on 13 June 2019, and an additional mandate – on the European Fund for Sustainable Development (EFSD+) – on 25 September 2019. Following the committees' decision of 8 October 2019 to enter into interinstitutional negotiations on the basis of Parliament's first-reading position, a first trilogue meeting took place on 23 October 2019. The second is scheduled for 5 December 2019. Fourth edition. The 'Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Financial instruments in cohesion policy

30-09-2019

Considered a resource-efficient way of using public funding, the use of financial instruments in cohesion policy is increasing. Financial instruments provide support for investment in the form of loans, guarantees, equity and other risk-sharing mechanisms. In the 2014-2020 programming period, financial instruments can be applied in all thematic areas and funds covered by cohesion policy, and they can be combined with grants. The amounts allocated are expected to double in comparison to the previous ...

Considered a resource-efficient way of using public funding, the use of financial instruments in cohesion policy is increasing. Financial instruments provide support for investment in the form of loans, guarantees, equity and other risk-sharing mechanisms. In the 2014-2020 programming period, financial instruments can be applied in all thematic areas and funds covered by cohesion policy, and they can be combined with grants. The amounts allocated are expected to double in comparison to the previous period. The lessons learnt so far from the implementation of financial instruments show that they present both advantages and challenges. Their revolving nature can increase the efficiency and sustainability of public funds in the long term. The requirement to repay can stimulate better performance and quality of investment projects. They can improve access to finance, through targeting financially viable projects that have not been able to obtain sufficient funding from market sources. However, financial instruments can also entail high management costs and fees, as well as complex set-up procedures. Although financial instruments may be a beneficial way to optimise the use of the cohesion budget, in some situations grants can be more effective. It is also important to bear in mind that the primary goal of financial instruments is to support cohesion policy objectives, rather than just to generate financial returns. The new legislative proposals on the post-2020 cohesion policy framework have taken these considerations into account, simplifying the use of financial instruments. This is an updated edition of a 2016 Briefing.

India: Economic indicators and trade with EU

30-09-2019

At the beginning of the century, the EU and India were growing exactly at the same path: how about today? Who is the main trade partner of India: China or the EU? And would you ever think that the EU exports to India pearls and precious stones more than electronic equipment? And how much is it easy to do business in New Delhi? Find the answers to these and many more questions in our EPRS publication on ‘India: Economic indicators and trade with EU’, part of a series of infographics produced in collaboration ...

At the beginning of the century, the EU and India were growing exactly at the same path: how about today? Who is the main trade partner of India: China or the EU? And would you ever think that the EU exports to India pearls and precious stones more than electronic equipment? And how much is it easy to do business in New Delhi? Find the answers to these and many more questions in our EPRS publication on ‘India: Economic indicators and trade with EU’, part of a series of infographics produced in collaboration with the European University Institute's GlobalStat on the world's main economies. This is an updated edition of an ‘At a Glance’ note published in July 2016.

Connecting Europe Facility 2021-2027: Financing key EU infrastructure networks

08-04-2019

The EU supports the development of high-performing, sustainable and interconnected trans-European networks in the areas of transport, energy and digital infrastructure. The trans-European networks policy was consolidated in 2013, and the Connecting Europe Facility (CEF) set up as a dedicated financing instrument to channel EU funding into the development of infrastructure networks, help eliminate market failures and attract further investment from the public and private sectors. Following a mid-term ...

The EU supports the development of high-performing, sustainable and interconnected trans-European networks in the areas of transport, energy and digital infrastructure. The trans-European networks policy was consolidated in 2013, and the Connecting Europe Facility (CEF) set up as a dedicated financing instrument to channel EU funding into the development of infrastructure networks, help eliminate market failures and attract further investment from the public and private sectors. Following a mid-term evaluation, which confirmed the CEF programme's capacity to bring significant EU added value, the European Commission proposed to renew the programme under the next long term EU budget. The Transport Council of 3 December 2018 agreed a partial general approach on the proposal, excluding financial and horizontal issues, which are still under discussion as part of the EU budget for 2021-2027. The European Parliament adopted its negotiating position on 12 December 2018. Interinstitutional negotiations (trilogues) concluded on 8 March with a partial provisional agreement on the architecture of the future programme. Having been endorsed by Coreper and jointly by the Parliament's TRAN and ITRE committees, the agreement is due to be voted at first reading by Parliament in April. The remaining issues will have to be agreed at second reading. Third edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Reform Support Programme 2021-2027

13-03-2019

The European Commission adopted the proposal on the establishment of the Reform Support Programme on 31 May 2018, as part of the package for the upcoming multiannual financial framework for 2021-2027. The programme will provide financial and technical support for Member States to implement reforms aimed at increasing the resilience of their economies and modernising them, including priority reforms identified in the European Semester. The overall budget for the programme is €25 billion. It comprises ...

The European Commission adopted the proposal on the establishment of the Reform Support Programme on 31 May 2018, as part of the package for the upcoming multiannual financial framework for 2021-2027. The programme will provide financial and technical support for Member States to implement reforms aimed at increasing the resilience of their economies and modernising them, including priority reforms identified in the European Semester. The overall budget for the programme is €25 billion. It comprises three elements: a reform delivery tool (financial support); a Technical Support Instrument (technical expertise, building on the current Structural Reform Support Programme 2017-2020); and a convergence facility (preparation for adopting the euro). The Reform Support Programme will be open to all Member States on a voluntary basis, with no co-financing required. In the European Parliament, the Committee on Economic and Monetary Affairs (ECON) and Committee on Budgets (BUDG) are working jointly on this file under Rule 55 of Parliament's Rules of Procedure. A vote in the joint committee meeting is expected on 1 April 2019, with a vote in plenary thereafter, during the second April 2019 part-session. Second edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Establishing a programme for the environment and climate action (LIFE)

22-11-2018

The Commission proposed to continue the current LIFE programme and increase its budget and scope. The supporting impact assessment is largely in line with the requirements of the Better Regulation Guidelines in terms of the range of options, the assessment of impacts, the quality of data and the analysis it provides. However, consultation activities, subsidiarity and proportionality assessment, the specific objectives and operational goals and their link to the proposed monitoring and evaluation ...

The Commission proposed to continue the current LIFE programme and increase its budget and scope. The supporting impact assessment is largely in line with the requirements of the Better Regulation Guidelines in terms of the range of options, the assessment of impacts, the quality of data and the analysis it provides. However, consultation activities, subsidiarity and proportionality assessment, the specific objectives and operational goals and their link to the proposed monitoring and evaluation framework fall short of the Better Regulation Guidelines.

Establishing the Connecting Europe Facility 2021-2027

13-11-2018

This initial appraisal assesses the strengths and weaknesses of the European Commission's impact assessment accompanying its proposal for establishing the Connecting Europe Facility (CEF) for the 2021-2027 period. CEF is an EU funding instrument designed to promote and part-finance the construction of pivotal cross border transport, energy and telecommunications infrastructure links between the EU's Member States. The proposal intends to support the achievement of the EU policy objectives in the ...

This initial appraisal assesses the strengths and weaknesses of the European Commission's impact assessment accompanying its proposal for establishing the Connecting Europe Facility (CEF) for the 2021-2027 period. CEF is an EU funding instrument designed to promote and part-finance the construction of pivotal cross border transport, energy and telecommunications infrastructure links between the EU's Member States. The proposal intends to support the achievement of the EU policy objectives in the transport, energy and digital sectors as regards the trans-European networks and to support cross-border cooperation between Member States on renewables planning and deployment. The appraisal concludes that the impact assessment (IA) provides a good description of the policy challenges of the new CEF based on the mid-term evaluation of the programme. The IA envisages a change in the scope for the digital and energy sectors. Alternative options are identified for the energy sector only. The IA would have benefited from better illustrating if, and in case how, the preferred option would take advantage from the existing, or forthcoming, legislation in establishing the envisaged enabling framework for cross-border cooperation on renewables. The IA does not discuss social or environmental impacts of the proposed measures and economic impacts are discussed for the energy sector only. Potential impacts on SMEs are not discussed, although SMEs might have deserved some analysis considering the specific objectives of the trans-European networks for the digital sector. An analysis regarding the impact on competitiveness appears to be missing as well. The final version of the IA appears to have addressed almost entirely the improvements requested by the Regulatory Scrutiny Board.

LIFE programme for 2021-2027: Financing environmental and climate objectives

09-11-2018

Launched in 1992, the LIFE programme is the only EU fund entirely dedicated to environmental and climate objectives. It supports the implementation of relevant EU legislation and the development of key policy priorities, by co-financing projects with European added value. To date, LIFE has co financed more than 4 500 projects. In June 2018, the European Commission submitted a proposal on a regulation establishing a new LIFE programme for 2021-2027. The programme would support projects in the areas ...

Launched in 1992, the LIFE programme is the only EU fund entirely dedicated to environmental and climate objectives. It supports the implementation of relevant EU legislation and the development of key policy priorities, by co-financing projects with European added value. To date, LIFE has co financed more than 4 500 projects. In June 2018, the European Commission submitted a proposal on a regulation establishing a new LIFE programme for 2021-2027. The programme would support projects in the areas of nature and biodiversity, circular economy and quality of life, clean energy transition, and climate change mitigation and adaptation. A total of €4.83 billion in 2018 prices (€5.45 billion in current prices) would be earmarked to the new programme. In the European Parliament, the proposal has been referred to the Committee on Environment, Public Health and Food Safety (ENVI). The Environment Council considered the information provided by the Commission on the proposal in a public session on 25 June 2018. First edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Reform Support Programme

23-10-2018

Among the legislative proposals for the spending programmes of the MFF 2021-2027, the European Commission has proposed to establish a Reform Support Programme for structural reforms. The IA accompanying the proposal provides a good review of the baseline scenario, the problem to tackle and the objectives to achieve. However, it concentrates on the expected positive effects of the programme, rather than assessing thoroughly the impacts of alternative options against the baseline scenario like a standard ...

Among the legislative proposals for the spending programmes of the MFF 2021-2027, the European Commission has proposed to establish a Reform Support Programme for structural reforms. The IA accompanying the proposal provides a good review of the baseline scenario, the problem to tackle and the objectives to achieve. However, it concentrates on the expected positive effects of the programme, rather than assessing thoroughly the impacts of alternative options against the baseline scenario like a standard IA. The presentation of the delivery mechanisms is mostly qualitative, with a couple of quantified references that could have been better explained and substantiated. The IA remains vague on the precise scope of the voluntary programme and several implementation details and implies that its impacts depend to a large extent on the implementation by the Member States, which makes an ex-ante assessment challenging.

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