1. Structural and cohesion funds and the European Semester process –experiences from the past, lessons for the future for the European Structural and Investment Funds Interparliamentary Committee Meeting organised by the Committee on Budgets 22nd January 2014
Presentation by Walter Deffaa, Director General for Regional and Urban policy European Commission

2. Outline
How do European Structural and Investment Funds support growth and jobs in a fundamentally changed environment?
Experience from programming period during crisis
New perspectives for the period

3. 1.1 Cohesion Policy delivers in the crisis
In the past Cohesion Policy increased GDP by over 1% on average.
Some key achievements :
jobs created – at least in SMEs
start-up companies supported
2 700 KM of new or reconstructed Railway
KM of new or reconstructed roads
Broadband access for 5 million citizens
Access to clean drinking water for 3.2 million citizens
ESF: 15 Million participants per year
But regional disparities are again growing with the crisis.

4. 1.2 Cohesion Policy response to crisis
Public Finances under consolidation pressure
Increase in EU advances, an extra EUR 6.2 bn (in 2009)
Increase EU co-financing to max – EUR 28.6 bn
Top up of maximum EU co-financing (to 95%) EUR 1.8 bn for 6 MS
Crisis affects all sectors of the economy, youth unemployment and SMEs
Broader scope of support: Financial instruments for energy efficiency and working capital for SMEs; social housing;
Thematic reprogramming of EUR 45 bn: Includes work of 2012 Youth / SME action teams with 8 MS

5. 2.1 ESI Funds 2014-2020 – key pillar of economic policy mix
Budget
consolidation
European
Semester
Country-specific
recommendations
Take slide from presentation to staff (last July) with all the arrows etc. In the centre: European Semester CSR
Growth support
& investment
Structural
reforms

6. 2.1 ESI Funds 2014-2020 – key pillar of economic policy mix
Budget
consolidation
Macro-economic conditionality
European
Semester
Country-specific
recommendations
Preserve growth friendly expenditures
Growth support
& investment
Structural
reforms
Ex-ante conditionalities
Capacity building

7. 2.2 New Programmes to focus on results
A. Focus on medium and long term drivers of growth = thematic + financial concentration:
R&D and innovation, SMEs, digital and low carbon economy, labour market, Social Inclusion and Human capital; Youth employment initiative, SME initiative Customized to needs: Address Country Specific Recommendations; Smart Specialisation Strategies
B. Design strategies for paths to growth and jobs: Identify clearly change sought, robust indicators, reporting, monitoring & evaluation mechanisms Performance framework and reserve will steer funds to best use with ma
C. Ex-ante conditionalities will ensure pre-conditions for effective investment

8. 2.3 2014: Pivotal Year for Shaping future growth and jobs
When
What?
2013
Legislation adopted
EUR 325 billion available
Preparation of programming in MS + COM
1st Qtr 2014
Submission of National "Partnership agreements" expected and adopted (taking account of European Semester recommendations; based on broad partnership of all stakeholders)
2nd + Qtr 2014
Presentation and adoption of detailed national and regional programmes
Translate jointly adopted objectives, regulations, and financial allocations into relevant strategies, objectives and and actions.

9. Thank You for Your Attention

10. Cohesion policy and national counterpart is a significant proportion of public investment in Europe.

14. Thematic objectives to Deliver Europe 2020
Research & innovation
Information and communication technologies (ICT)
Competitiveness of Small and Medium-sized Enterprises (SMEs)
Shift towards a low-carbon economy
Climate change adaptation & risk prevention and management
Environmental protection & resource efficiency
Sustainable transport & removing bottlenecks in key network infrastructures
Employment & supporting labour mobility
Social inclusion & combating poverty
Education, skills & lifelong learning
Institutional capacity building & efficient public administrations