8th progress report: Cohesion Policy is needed more than ever to promote lasting jobs and growth
Between 2008 and 2012, unemployment increased in four out of five regions in the EU. In addition, GDP shrank in two out of three regions between 2007 and 2010. This crisis has a widespread effect including both more and less developed regions. As a result, the disparities between EU regions have started to grow again after a long period of convergence.
This dramatic reversal of fortune is highlighted in the 8th progress report on economic, social and territorial cohesion: 'The regional and urban dimension of the crisis' adopted by the European Commission today. It reveals the staggering reductions in regional employment and Gross Domestic Product, housing prices and disposable household income. It shows that while Foreign Direct Investment and exports volumes recovered quickly from the crisis, import volumes are still significantly below its pre-crisis level.