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Euronews Real Economy: How billions from Europe's recovery fund are set to transform Spain's economy

The latest episode of Real Economy on Euronews examines how funds from the EU’s pandemic recovery fund are set to transform Spain’s economy.

Naomi Lloyd, news reporter and presenter, speaks about the economy of Spain at the central square in Madrid. Spain will receive € 69.5 billion. ©European Union
European Union

date:  24/02/2022

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Spain is set to receive €69.5 billion from the €723.8 billion (in current prices) Recovery and Resilience Facility (RRF) - the biggest public investment plan in the country's recent history. So far it has received €9 billion in emergency pre-financing and its first instalment of €10 billion in December 2021. Like many southern European Member States, Spain suffers from systemic unemployment, especially among the young. Matching student skills to what employers actually want is, therefore, seen as one of the key ways to reduce unemployment. To augment vocational training centres already funded by the European Social Fund, €2 billion of the Recovery Fund money will be dedicated to the creation of 135,000 new vocational training places across Spain. A major aim is to equip workers with the skills needed in the growing digital sector. To receive its first disbursement of €10 billion, Spain has had to implement dozens of structural reforms, including measures aimed at improving its vocational training ecosystem and reducing the gender pay gap at work.  According to Nadia Calviño, Spain’s Vice President and Minister for Economy and Digitalization, vocational training, together with the structural reforms, particularly in the labour market and education, “can allow Spain to finally tackle some of the imbalances that have been dragging growth and prosperity for decades.”