Investing in Europe’s prosperity

Russia did not just wage war against Ukraine, but also against Europe’s economy by weaponising energy supplies. With REPowerEU, we are ending our dependency on Russian fossil fuels, regaining and ensuring Europe’s long-term, sustainable energy independence.

This has been a unified, European effort. Member States have cooperated to ensure every country has an adequate supply of gas, while the EU has worked to diversify its energy supply at affordable prices.

EU energy savings

EU Energy Platform

The Commission has also established the EU Energy Platform to organise the first-ever joint purchase of gas for Member States, along with Georgia, Moldova, Ukraine and countries in the Western Balkans. This joint purchase allowed us, for the first time, to use our collective political and market weight to amplify our bargaining clout and secure gas and LNG supply by pooling demand and attracting suppliers.

As a key pillar of REPowerEU, renewable energy has seen significant progress during the energy crisis, with the additional deployment of renewables doubling across the EU in 2022.

Our Solar Energy Strategy is poised to accelerate the deployment of photovoltaic energy even further, while the EU is leading the development of a global hydrogen economy, with a Hydrogen and Gas Decarbonisation Package in the pipeline.

To keep up the pace in the race to net zero, and to bolster the competitiveness of the EU's industry, the Commission unveiled the Green Deal Industrial Plan on 1 February 2023.

In March, three key initiatives supporting the Green Deal Industrial Plan were introduced

• the European Critical Raw Materials Act
• the Net-Zero Industry Act
• the reform of the electricity market design

We have also continued to fight to restore nature across the European Union with the recently proposed Nature Restoration Law and the Zero Pollution Action Plan. Meanwhile we have adopted legislation that will keep unsustainable products off our supermarket shelves with the EU deforestation law, and made progress on accomplishing our Fit for 55 objectives.

This transition will of course impact farmers and rural communities. The 2023-27 Common Agricultural Policy (CAP) that came into effect at the beginning of the year, will support farmers in producing safe, quality and sustainable food, whilst also preserving the vitality and diversity of rural communities.

Digital innovation is reshaping our economy at breathtaking speed, and the EU is keeping pace. The Artificial Intelligence (AI) revolution is firmly upon us, which is why the Commission put forward the Artificial Intelligence Act already in April 2021. This will ensure that AI systems in the EU are safe, transparent, ethical, unbiased, and under human control.

The European Parliament and EU Member States reached an agreement on the European Chips Act in March, with the Council formally approving the regulation to strengthen Europe's semiconductor ecosystem in late July. In terms of data, the driving force behind Europe's digital economy, we are striving to make the EU a leader in a data-driven society, with the European Data Strategy. Speaking of the economy, the Commission put forward two new proposals to bring payments and the wider financial sector into the digital age over the last year as well.

Investing in microelectronics

Another milestone was reached in November 2022, when online platforms assumed greater responsibility for mitigating harm and protecting the rights of users, with the entry into force of the Digital Services Act (DSA). To enforce the DSA, the Commission launched the European Centre for Algorithmic Transparency (ECAT) in April 2023, which is hosted in the Commission’s Joint Research Centre. 

In the same month, fairness and contestability in digital markets was enhanced through the enforcement of the Digital Markets Act.

This year we celebrated the 30-year anniversary of the Single Market – the foundation of Europe’s enduring competitiveness. In March, the Commission outlined a new long-term approach to how the EU can build on its strengths by fostering thriving businesses, able to compete on the global market, with attractive jobs and setting global standards.

We have proposed other ways to support and further strengthen the Single Market this year too. In May, we proposed the most comprehensive and ambitious reform of the Customs Union since its establishment in 1968. A month earlier we proposed new rules on patents that will create a more transparent, effective and futureproof intellectual property rights framework.

The EU economy continues to show remarkable resilience amid the successive economic shocks of recent years. In 2022, the rebound in growth was an impressive 3.4%. The expansion was supported by a robust labour market, with unemployment rates hitting record lows and increasing employment. This outcome owes much to the decisive action taken by the EU and its Member States. 

Of course, our unique European model prioritises not only commercial opportunities, but also societal welfare, placing people at the heart of our economy. To this end, and since we steadfastly believe in the power of social dialogue, we have proposed measures that strengthen social dialogue at both national and EU level. At the same time, we have to make sure our social safety nets are fit for purpose. That is why we put forward recommendations to ensure adequate minimum income across EU Member States.

Underpinning all of this is Europe’s need to invest heavily in lifelong learning, which is fundamental to the success of the green, digital, and demographic transitions. That is why we’ve made 2023 the European Year of Skills, for which Member States have allocated around €65 billon in EU funds.

The Pact for Skills - Bringing public and private organisations together

In 2022 and 2023, our common European investment of €800 billion in NextGenerationEU began, with tangible on-the-ground projects, to build a Europe that is sustainable, resilient, and competitive, to guarantee prosperity for all Europeans.

Learn about what's happening in each Member State

The EU continues to play a pivotal role in constructing a global economy that is resilient, sustainable and growing for all. With Global Gateway, a €300 billion plan for sustainable investments across the world, the Commission is supporting top-quality infrastructure projects that bring jobs, lasting growth, and create value locally.

The inaugural milestone of the Global Gateway materialised in the Africa-Europe Investment Package. Half of initial Global Gateway investments, approximately €150 billion, is dedicated to bolstering cooperation with African partners. Since then, we have started implementing Global Gateway in Asia and the Pacific and in Latin America and the Caribbean, where President von der Leyen announced that the EU and its Member States would invest over €45 billion.

Trade and Technology Councils

In the spirit of international collaboration, the EU has established Trade and Technology Councils with the United States and India to foster productive partnerships and address common challenges.

Global trade

Despite the shock to supply chains caused by the pandemic and Russia’s war of aggression against Ukraine, we have made strides in promoting trade openness through tangible achievements in engaging with key trading partners. Notably, negotiations on free trade agreements were successfully concluded with Chile and New Zealand, while negotiations continued with Australia, Mercosur, Mexico, India and Indonesia.

Economic security

On 20 June, the Commission and the High Representative presented a new European Economic Security Strategy. The strategy focuses on minimising risks arising from certain economic flows in the context of increased geopolitical tensions and accelerated technological shifts, while preserving maximum levels of economic openness and dynamism.

^{Disclaimer: The data on this page was last updated on 8 September 2023}