The EU to Invest € 40 Billion in Global Projects to Compete with China
The European Union will present a strategy next week to allocate € 40 billion to develop the technological infrastructure. Bloomberg agency writes about this based on the relevant document.
Brussels intends to oppose China’s economic initiative – “One Belt – One Road”. According to the agency, the EU’s new strategy is called the Global Gateway. The EU’s “Global Gateway” strategy will focus on digital, transport, energy, and trade projects, according to a draft seen by Bloomberg. The plan is aimed at increasing Europe’s interests and competitiveness around the world, while also promoting sustainable environmental standards and values such as democracy, human rights, and the rule of law.
The draft document states that the plan “provides an umbrella brand for EU investments worldwide”. The funds will be distributed from the European Fund for Sustainable Development as a financial commitment mechanism. However, the draft document states that the volume of EU investments will increase in the regions and countries that receive assistance through the “Global Europe” program. The total budget of the program is 79.5 billion euros.
The EU will aim to back projects spanning the globe, including Eastern and Southern Europe, the Western Balkans and Turkey, Africa, Central Asia, Indo-Pacific, Latin America, and Arctic co-financing projects, such as 5G cross-border corridors to support connectivity between the EU and the region, as well as investments in renewable hydrogen in Greenland.
The One Belt One Road Initiative, launched by China in 2013, calls for Chinese capital to be involved in various global projects. It has already been joined by 150 countries and international organizations.
The document also states that following the EU’s current budget cycle through 2027, investments in connectivity are expected to rise significantly within its Global Europe development assistance program.