ERDF

The European Regional Development Fund (ERDF) is one of the five European Structural Funds and, as such, a financial instrument of the European Commission under the Cohesion Policy. The Cohesion Policy aims to strengthen the EU Member States' economic, social, and territorial cohesion. The reduction of regional development disparities, the economic strengthening of structurally weak regions and the improvement of the quality of life of EU citizens, are essential conditions for this. The objectives, defined in the "Europe 2020" strategy, are the foundation for developing and deploying the ERDF funding programmes. The European Council adopted this European employment and growth strategy in 2010. The aim is to achieve intelligent, sustainable, and integrative growth with a focus on knowledge and innovation, high employment and social inclusion levels, and a stronger sustainability orientation of the economy. This goes hand in hand with ecological and considerate exploitation of resources and an increase in the competitiveness of small and medium-sized enterprises.

The REACT-EU package comprises additional funding of approximately €47.5 billion, to be provided in 2021 and 2022. This additional funding is a supplement to existing cohesion policy programs from the 2014-2020 funding period. REACT-EU funds are intended to stabilize sectors crucial for recovery. These include job preservation, support for the self-employed, investment in healthcare systems and investment incentives for SMEs, as well as support for tourism and culture. Furthermore, investments will be made in the European Green Deal and the digital transition to strengthen existing investments in these areas under EU cohesion policy.