Former ECB president Mario Draghi has unveiled a bold plan to revitalize Europe's economy. In a new report, Draghi calls for an additional €800 billion in annual investments to boost productivity and growth across the European Union.
The plan addresses key sectors including technology, telecom, and defense. Draghi recommends easing EU competition rules to facilitate mergers, particularly in the tech and telecom industries. He also suggests issuing new common debt to meet defense and industrial needs.
A major focus is on integrating artificial intelligence into existing industries to enhance competitiveness. Draghi also proposes reforming the EU's €1.2 trillion budget, shifting funds towards industrialization and innovation.
The report highlights the urgent need to address Europe's high energy costs and secure essential raw materials for digital and energy transitions. Draghi warns that without these measures, Europe risks compromising its welfare, freedom, and global competitiveness.
However, implementation may prove challenging, requiring agreement from all 27 EU member states. With Germany's economy faltering and political divisions in France, achieving the necessary unity for these sweeping changes could be difficult.
Draghi emphasizes that Europe is at a critical juncture, needing bold action to avoid scaling back its ambitions in technology, climate leadership, and geopolitical independence.
