The EU has been a global pioneer in the transition to decarbonize its economy and its immediate neighbors (EUN), namely, Albania, Bosnia and Herzegovina, Kosovo,  Moldova, Montenegro, North Macedonia, Serbia, and Türkiye, which are heavily integrated with and reliant on the bloc through economic, financial and FDI and technology channels are likely to be significantly affected by such a transition. More immediately, the question whether the EU’s carbon border adjustment (CBAM)—an import tax on carbon intensive imports—will affect its...

November 28, the Commission is taking another step to make the EU's energy system fit for the future by adopting the first list of Projects of Common Interest (PCIs) and Projects of Mutual Interest (PMIs) that is fully in line with the European Green Deal. These key cross-border infrastructure projects will help the EU reach its ambitious energy and climate goals. The projects will benefit from streamlined permitting and regulatory procedures, and become eligible for EU financial support from...

The Commission welcomes the provisional agreement reached last night between the European Parliament and the Council strengthening the current provisions for emissions from industry and large intensive rearing farms. The updated law will help guide industrial investments necessary for Europe's transformation towards a cleaner, carbon neutral, more circular and competitive economy by 2050. It will spur innovation, reward frontrunners, and help level the playing field on the EU market and increase long-term investment certainty for industry.  New measures for a less...

Blog post by Simon Black, Florence Jaumotte, Prasad Ananthakrishnan |  With each passing year, the stark reality of a hotter planet becomes clearer and the ensuing risks to the global economy intensify. But as the world is waking up to the scale of the climate crisis, geopolitical tensions and fragmentation risks are undermining our ability to coordinate global actions to solve this planetary problem. Eight years on from the Paris Agreement, policies remain insufficient to stabilize temperatures and avoid the...

From tomorrow to 1 December the Commission is hosting a high-level conference in Vilnius, Lithuania on the green recovery in Ukraine. Commissioner Virginijus Sinkevičius will represent the Commission and stress the commitment for a continued cooperation with and assistance to Ukraine in its sustainable reconstruction efforts. Commissioners Wopke Hoekstra and Iliana Ivanova will participate in the event via video messages. Comprising a policy and a business segment, the conference aims to take stock of the challenges ahead and discuss with...

Central bank digital currencies can improve payment systems as well as financial inclusion—if they are appropriately designed. If not, they could pose risks. While not all countries may see an immediate case to deploy a CBDC, many countries are exploring CBDCs so they will have the option to introduce one in the future if it becomes pertinent for them. Benefits are more likely to come in time, following the policies pursued by countries and the private sector’s response, as well...

The European economy has lost momentum this year against the background of a high cost of living, weak external demand and monetary tightening. While economic activity is expected to gradually recover going forward, the European Commission's Autumn Forecast revises EU GDP growth down compared to its summer projections. Inflation is estimated to have dropped to a two-year low in the euro area in October and is set to continue declining over the forecast horizon. Growth has lost momentum, but a...