REACT-EU

50.62 billion (from NGEU)

Additional funds (within Structural Funds) in countering the crisis from Covid-19

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DG / Responsible Agencies: REGIO | National and regional authorities

Potential beneficiaries

Public authorities in member states; and, indirectly, EU citizens, public or private organizations and businesses.

Description and objectives

REACT-EU stands for Recovery Assistance for Cohesion and the Territories of Europe: it provides additional funding over the 2020-2022 period for existing 2014-2020 cohesion programs under the European Regional Development Fund, the European Social Fund, and the European Aid for the Indigenous Fund.

Thus, it is a kind of “bridge program” created in the emergency of the Covid-19 pandemic, bringing together, extending and systematizing other emergency measures taken during the same period. Through REACT-EU, the Commission is adding new resources to existing programs under cohesion policy, without drawing resources from other programs and thus without penalizing their implementation.

Types of actions and projects

The program supports investment projects that promote crisis repair capabilities and contribute to a green, digital, and resilient recovery of the economy, including support for employment retention, short-time work programs, and support for the self-employed.

It can also support job creation and measures for youth employment, health systems and the provision of working capital and investment support for small and medium-sized enterprises.

Funding is provided as a reinforcement of 2014-2020 cohesion policy funding in the form of grants, procurement, and financial instruments.

Highlights

REACT-EU is an extension of funds provided under the previous programming period (Structural Funds). It forms a bridge to the long-term recovery plan (Recovery and Resilience Device).

REACT-EU extends the Covid-19 crisis response and repair measures provided through previous “Coronavirus Response Investment Initiatives” (CRII and CRII+).