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EU Cohesion policy: €336.7 million for France and Portugal to tackle the social and economic impact of the coronavirus crisis

  • 04 June 2021
EU Cohesion policy: €336.7 million for France and Portugal to tackle the social and economic impact of the coronavirus crisis

The Commission has approved the modification of two European Regional Development Fund (ERDF) operational programmes (OPs) for France and the modification of two European Social Fund (ESF) OPs for Portugal and France under REACT-EU, increasing them by €336.7 million.

These OPs amendments will help tackle the effects of the coronavirus pandemic, lay the ground for a green and digital recovery and support the most vulnerable in our society.

€158.9 million in additional funding for the ‘Languedoc-Roussillon’ and ‘Midi-Pyrénées and Garonne’ OPs will support the health sector, in particular the modernisation of health institutions, as well as businesses, the recovery of the tourism sector, the acceleration of investments in energy transition and digital support for education, and sustainable mobility.

In La Réunion, more than 14 000 people, in particular those most vulnerable, will benefit from an additional €113.8 million from the ESF. The additional funding will facilitate access to quality jobs, including through support for entrepreneurship and business creation. It will also help invest into green and digital skills to safeguard jobs at risk due to the pandemic, and develop accessible services to reduce social exclusion.

Finally, in Portugal, additional €64 million will support Madeira in strengthening the regional health system, including by adding a new area in the ‘Nelio Mendonça Hospital’ for coronavirus patients and supporting the acquisition of refrigeration units to store medicines and vaccines. Support will also be provided to Small and Medium-sized Enterprises (SMEs) in the sectors most affected by the pandemic, focused in particular on businesses’ IT investment and the digital transition, as well as improving energy efficiency in public infrastructure and sustaining inclusion measures and employment support, including trainings for the adaptation of skills and qualifications.

REACT-EU is part of NextGenerationEU and provides €50.6 billion additional funding (in current prices) over the course of 2021 and 2022 to Cohesion policy programmes. Measures focus on supporting labour market resilience, jobs, SMEs and low-income families, as well as setting future-proof foundations for the green and digital transitions and a sustainable socio-economic recovery.

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