Keravnos discusses economic growth and cohesion policy in Brussels

Finance Minister Makis Keravnos spoke out in favour of flexibility in the process of closing the 2014-2020 funding programmes, as it is important to make effective use of European resources in favour of economic growth and social cohesion.

He was addressing the General Affairs Council of the EU on Cohesion Policy issues, according to a post by the Ministry of Finance on X.

The main topic of the meeting was the adoption of Council Conclusions on the Future of Cohesion Policy after 2027 and a political debate on the same topic, according to the post. Flexibilities needed in relation to the successful completion of the closure procedures of the 2014-2020 programmes and the link between Cohesion Policy and the EU's strategic autonomy were also discussed.

In his intervention, the Cypriot Finance Minister highlighted the importance of Cohesion Policy, which is a fundamental pillar of the European Union and ensures that no Member State is left behind in terms of development. He stressed that the effective use of European resources has multiple benefits for both economic growth and social cohesion. It should, he said, remain the main investment policy and ensure that it is adequately funded in the next Multiannual Financial Framework after 2027, according to the post.

The Finance Minister also backed the introduction of flexibility in the closure process of the 2014-2020 programmes. He said that Cyprus is in a position to complete this process in time and before the end of the year for the full absorption of all European funds amounting to 880 million, according to the post on X.

Regarding the EU's strategic autonomy, Keravnos said that SMEs are the backbone of the economies of many Member States, including Cyprus, and that the financial support provided to date through the Cohesion Policy Funds has already been an important aspect of the EU's resilience and strategic autonomy.

He also stressed that any funding for large companies should focus on companies active in research, development and innovation, in strategic areas of the EU. Such funding should be subject to specific conditions and under Cohesion Policy conditions for balanced development so as not to create market distortions and inequalities, it was pointed out.

(Source: CNA, Photos: PIO)