Wiener Institut für Internationale Wirtschaftsvergleiche The Vienna Institute for International Economic Studies www.wiiw.ac.at GRINCOH Workshop Milan February 27, 2014 Cohesion and EU Budget seen from CEE Results of a Questionnaire Survey Sándor Richter and Tamás Szemlér Objective of the survey The cohesion policy of the EU and its position within the EU budget Assessment of the 2007-2013 period Identification of prospects for cohesion policy as a key component of the EU budget in the future A perspective from Central and Eastern European Member States 2 The respondents A group of experts from the 11 CEE NMS Administration: ministry, managing authority, intermediate body or similar at national or regular levels Academia: educational and research institutes Participants of a 2008 Brussels conference to launch the consultation on the Budget Review 2008/9; other conferences, official INTERREG national contact points > 303 persons 248 questionnaires reached the selected circle, 78 responses (31.5%) had been returned 42% administration, 37% academia, 21% “other”; more than two thirds of the respondents had over 6 years working experience with the EU budget and/or the cohesion policy BG, CzR, HU, PL, SI, SK nine or more responses, Baltic states, RO, CR less 3 Ranking of the importance of the main expenditure headings of the EU budget for the respondent’s country Top priority In between Bottom priority No. of responses Percentage of responses No. of responses Percentage of responses No. of responses Percentage of responses 16 21.9 31 42.5 26 35.6 Cohesion 59.5 81.5 11.5 15.8 2 2.7 Competitiveness 24.5 33.1 28.5 38.5 21 28.4 Common Agricultural Policy 4 If cohesion policy is important for your country, this is because it is considered... …to be a good instrument to promote growth and jobs in your country ...to contribute decisively towards an improved 'net budgetary position' of your country ...to be an efficient instrument for reducing economic and social disparities within the country Other Replies (No.) Replies as % of all respondents 58 74.4 23 29.5 48 61.5 4 5.1 5 The evaluation of cohesion policy in the respondent’s country Pre-accession period Replies Phasing-in period Percentage of replies (No., whole sample) (whole sample) Not successful at all Not successful 1 1.3 7 Successful Replies (No., whole sample) Post-phasing-in period Percentage of replies Replies (whole sample) 0 0.0 9.0 Not successful at all Not successful 8 45 57.7 Successful Very successful 14 18.0 No answer 11 14.1 Percentage of replies (No., whole sample) (whole sample) 3 3.9 10.3 Not successful at all Not successful 13 16.7 47 60.3 Successful 42 53.9 Very successful 12 15.4 Very successful 8 10.3 No answer 11 14.1 No answer 12 15.4 6 Assessment of the importance (1 = lowest; 6 = highest) of individual cohesion policy objectives for the respondents’s country Average Average (whole sample) (academia) Average (administration) 4.95 4.75 5.12 4.46 4.32 4.65 Job creation 4.45 4.25 4.64 Development of urban areas 3.60 3.30 3.88 Development of rural areas 3.96 3.93 4.03 Environmentally sustainable development 4.03 3.70 4.30 Socially sustainable development 3.80 3.44 4.13 3.20 2.86 3.72 Economic growth convergence) Competitiveness Support to problems territories (economic with specific 7 Assessment of the success (1 = lowest; 6 = highest) of practical implementation of cohesion policy principles in the respondents’s country Average Average (whole sample) 4.19 (academia) Average (administrati on) 3.92 4.41 Management of funds (implementing structures) 3.80 3.48 4.22 Project facilitation and selection procedures 3.51 3.37 3.78 Decentralisation of decision-making 3.17 2.88 3.53 Financial management (co-financing, N+2/N+3, eligibility, control) Monitoring and evaluation 4.01 3.76 4.30 3.72 3.40 4.22 Partnership principle 3.49 3.22 3.75 3.30 3.08 3.75 Programming Long-term approach development support and predictability of 8 In your view, what would be the optimal size of the EU budget in terms of percentage share of EU GNI? 9 10 In 2011 the EU budget accounted for 1.08% of the EU GNI. One quarter of it represented redistribution from 'net contributors' to 'net beneficiaries'. (The rest represented Member States’ payments to the EU budget which were fully compensated by transfers from the EU budget.) In your opinion what would be the appropriate share of redistribution from 'net contributors' to 'net beneficiaries' within the EU budget? 11 12 Conclusions (1) Status quo - in general: fine, details: not that fine - The general assessment of the respondents is positive - Coming closer to the present, the opinions show more and more contrast For different time periods, different overall pictures (snapshots) - Differences between the replies to the questions regarding the importance or the success of different expenditure items 13 Conclusions (2) Just juste retour or something more? - Various interests in mind – incl. net financial position - Replies based on much more founded and forwardlooking considerations than simply juste retour Ready for reform? - A high degree of openness towards reform - Despite some differences, no unbridgeable gap between “academia” and “administration” respondents 14 Conclusions (3) 2007-2013 and 2014-2020: fait accompli, basically supported - The rules of the game were/are established, there is not much to change - Capping: changes are clearly unpopular - Macroeconomic conditionality for support: welcome Beyond 2020: too far for being realistic? - The fact that many CEE countries are members of the EU will not necessarily make the task arising around 2018 more difficult than it was before 15 Wiener Institut für Internationale Wirtschaftsvergleiche The Vienna Institute for International Economic Studies www.wiiw.ac.at THANK YOU FOR YOUR ATTENTION! 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