Infrastructure investment in Europe has been adversely affected by the economic crisis, undermining both the immediate recovery and longer-term growth potential.
This paper discusses recent trends before focusing on how transport infrastructure – arguably the hardest hit sector during the crisis – contributes to regional growth. It shows that firms in regions with a more developed transport network are better placed to benefit from positive growth opportunities than firms in other regions.
This advantage is most pronounced in times of economic stress, making a good transport infrastructure a key ingredient for economic recovery.
This indicates one channel through which the activities of the EIB can foster growth and enhance competitiveness in Europe.