Draghi’s plan to rescue the European economy
Think tank: Centre for European Reform
Author(s): Various authors
September 18, 2024
This report from UK think tank the Centre for European Reform looks at Draghi’s plan to rescue the European economy.
Mario Draghi has just launched his long-awaited report on the ailing European economy. The report should serve as a wake-up call to EU leaders who have long failed to confront Europe’s declining growth rate head-on.
A new CER policy brief ‘Draghi’s plan to rescue the European economy: Will EU leaders do whatever it takes?’ assesses the key aspects of Draghi’s report. It covers its diagnosis and proposals to boost innovation, reform industrial, competition and trade policy, lower energy prices, and foster common defence capabilities.
CER experts also look at Draghi’s suggestions on how to finance the necessary investments. Draghi’s diagnosis is hard to dispute. Europe’s innovative capacity and business dynamism are declining compared to other advanced economies, while energy prices remain high.
Europe faces growing competition from Chinese firms backed by state subsidies, geopolitical tensions and a continued reliance on imported energy. The EU cannot afford to procrastinate in addressing these problems.
