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MNI BRIEF: RRF/NGEU Spillover Effects Could Boost GDP By 30%

(MNI) Brussels

New research from the EU Commission's DG ECFIN shows that the macroeconomic spillover effects of national investments to be carried out as part of the NexGen Programme could boost EU-wide GDP by around a third. "A simple aggregation of the national effects of individual investment plans would thus substantially underestimate the growth effects of NGEU. For small open economies with smaller NGEU allocations, spillover effects account for the bulk of the GDP impact," the paper states.

The researchers say that the paper 'Quantifying Spillovers Of Next Generation EU investment' does not account for the effects of structural reforms, which are likely to further enhance the growth impact of the programme.

MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
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MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
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