Portuguese business group praises Draghi report

On Tuesday, the Portuguese Business Confederation (CIP) expressed strong support for the strategy proposed in Mario Draghi's report on European competitiveness, which was presented the previous day. Draghi, a former Italian prime minister and European Central Bank president, highlighted the urgent need for an additional €800 billion in annual investment to enhance the EU's competitiveness, a figure surpassing the US Marshall Plan's investment in post-war Europe. The CIP emphasized that this report signifies a pivotal shift in European policy, focusing on competitiveness as a cornerstone for prosperity, sustainability, and social cohesion. The CIP pointed out that the decline in European competitiveness over recent decades has resulted in a significant gap between the EU and other major global economies. This gap is attributed to several factors, including insufficient investment in research and development, an increasing reliance on external raw materials, a shortage of digital skills, and a sluggish transition to renewable energy sources. The organization believes that addressing these issues is crucial for the EU's economic future. To combat these challenges, the CIP advocates for a new competitiveness strategy that includes budgetary incentives aimed at stimulating private sector investment. They acknowledge that while increased investment may strain public finances, the potential productivity gains could offset these costs in the long run. The call for action reflects a growing recognition of the need for a robust economic framework to ensure the EU's competitiveness on the global stage. In conclusion, the CIP's endorsement of Draghi's report underscores the urgency for a comprehensive approach to revitalizing the EU's economy, emphasizing the importance of strategic investments and policy reforms to bridge the competitiveness gap with other economic powers.