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Europe Daily Bulletin No. 9685
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GENERAL NEWS / (eu) eu/cohesion

Poorest regions in Union catch up thanks to rapid sustained growth and falling unemployment

Brussels, 18/06/2008 (Agence Europe) - By presenting the 5th progress report on economic and social cohesion in Europe to the press on Wednesday 18 June, a very strong message was sent out affirming: “We need to continue to simplify cohesion policy” (EUROPE 9683). Danuta Hübner underlined some of the trends. Firstly, strong convergence of the less developed regions is continuing. Growth of GDP per head was 50% faster over the last 5 years in these regions compared to the rest of the Union. In the same period unemployment decreased by 3 percentage points cutting in half the difference between those two groups of regions. How has Ms Hübner been able to put this convergence into practice? The commissioner stressed that this would be through a far-reaching process of economic restructuring. She also noted that convergence regions still have a very different employment structure from other regions, with high employment share in industry and agriculture and considerably lower shares in financial and business services. But economic restructuring is radically altering this picture, with strong growth in the sectors of the future - such as advanced technologies. This analysis contributes to better understanding of the forces driving regional growth and job creation and should be taken into account in the reflection on the policy future, affirmed Ms Hübner, concluding: “This is very much in line with the globalisation challenge”.

In connection with the next stages of reflection on future cohesion policy, Danuta Hübner mentioned the autumn 2008 launch of a public consultation on the Regional Cohesion Green Paper and different ministerial and high level events that will be organised under the different presidencies of the EU. The Commission will examine progress of this reflection in the 6th progress region on economic and social cohesion due out in spring 2009.

The progress report is available at the following address:

http: //ec.europa.eu/regional_policy/sources/docoffic/official/reports/interim5_en.htm. (G.B./transl.rh)

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