ITALY EUROPEAN FUNDS - Following the economic crisis caused by the pandemic, Europe has decided to allocate funds to help Member States recover. The allocation of liquidity has, however, been subject to certain constraints which countries have had to demonstrate that they can comply with. Therefore, before they could receive them, governments had to draw up and submit plans that specifically indicated the purposes for which they would allocate the funds received. In addition, it should be stressed that not all countries are entitled to the same sum, but Italy is the one that has won the most.
In a total of 750 billion of the Next Generation EU, about 27% of the funds is allocated to Italy, while all the other European states will share the remaining 73%. The Italian PNRR has in fact a value of 200 billion to share to 68,9 billion for the subsidies and 122,6 billion for the demanded loans. This means that in the end the EUR 140 billion will have to be returned on the basis of the long-term return plans set out in the terms of European funds.
It is immediately clear why Italy has won the largest share of European funds if you look at the PNNR of other countries such as France, Germany and Spain for example. These three nations have applied for 40.9 billion, 25.6 billion and 65.9 billion respectively. Of the above three, only Spain has applied for unsolicited loans amounting to 70.5 billion. These figures clearly explain why Italy wins this record.
The Recovery Plan regards the complex of the plans, inclusive of those previewed from the Next Generation EU that has the greater slice with 235 billions and a temporal horizon of use until 2026 and is composed for 191 billions from the Recovery and Resilience Facility (RFF)31 billion from the Complementary Fund and 13 billion from the React-EU programme.
This is what Professor Marco Ginanneschi explains. So let’s see what the PNNR of Italy, France, Germany and Spain includes.