Spain receives €354.8 million from the European Commission through REACT-EU for crisis response and repair

The Commission has approved €354.8 million under REACT-2022 EU’s tranche to help Spain’s recovery and prepare for its digital and green transformation. 

This funding will be channelled through the European Regional Development Fund’s (ERDF) top-up of five Operational Programmes (OP). These funds supplement the support already granted in the Spanish programmes through the REACT-EU allocation for 2021. 

The additional €191.4 million will be used to build and renovate hospitals and schools throughout Andalusia. In addition, the funds will be used to digitalize public health services, assist SMEs in mitigating the effects of the crisis, increase energy efficiency and renewable energy use, support sustainable mobility, and reduce GHG emissions. 

An additional €28.2 million has been provided to the Balearic Islands to improve support for the coronavirus fight through the acquisition of medical, pharmaceutical, and research material. It will also help SMEs with working capital, sustainable mobility, and the upgrading of facilities and equipment in schools, health centres, and hospitals. 

The €44.4 million allocated to Galicia will be used to boost funding for health R&D, health waste disposal, and e-health. The money will be used to digitalize the public sector and SMEs, as well as to provide working capital to SMEs in high-potential job-creation sectors, as well as for innovation in forestry, sustainable building, and fire prevention, among other areas. 

The additional €5.8 million in La Rioja will be used to continue supporting the acquisition of health-related products and services, such as medical, pharmaceutical, and research materials. The funding will also be utilized to increase energy efficiency in public and private facilities, as well as to digitize and renovate hospitals and schools. 

The additional €85 million in Madrid will be used to strengthen the acquisition of protective equipment in the health sector, expand testing capacity, and hire the financial employees needed to respond to the situation. Spain will also utilize the funding to boost renewable energy production in the region and upgrade public infrastructure, such as the Hospital 12 de Octubre’s new building. 

REACT-EU, as part of NextGenerationEU, provides a €50.6 billion (in current prices) boost to Cohesion policy programmes in 2021 and 2022. These additional funds should be used toward projects that strengthen crisis-recovery capabilities in the wake of the coronavirus pandemic, as well as investments in operations that help prepare the economy for a green, digital, and resilient recovery. 

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