07 July 2022

Next Generation EU: implementation and impacts on Italy and Europe

This morning, we presented at Palazzo Parigi in Milan the results of the study conducted by the Advisory Board Amundi Italia entitled "Next Generation EU: implementation and impacts on Italy and Europe". 

The Next Generation EU and the National Recovery and Resilience Plan (NRRP) have reached the implementation step in a context characterized by strong international tensions, which makes it even more important to apply measures supporting inclusivity and green transition. The international crisis in Ukraine has been having significant impacts on the European society, because of the strong inflationary pressure on food and energy goods and the large number of migrants fleeing the conflict. The green transition has been impacted as well and has become a key strategic and competitive factor. 

The study was presented during the 3rd Forum of the Advisory Board Amundi Italia, organized by The European House - Ambrosetti, the final stage of a process that was started in November 2021. The results of the Amundi Sustainable Future Indicator, developed by us with the aim of analyzing in a multidimensional key the impact of the Next Generation EU on European society, environment and economy, in synergy with the methodological framework of the United Nations, the Sustainable Development Goals. Developed in the context of post-pandemic recovery, the indicator is now a valuable tool to predict the socio-economic-environmental areas most impacted by the crisis in Ukraine. 

In the ranking of the Amundi Sustainable Future Indicator, Italy is 24th out of the 27 member countries of the European Union, ahead of only Greece, Romania and Bulgaria. Italy has a particularly disappointing economic performance: 26th for the SDG 8, "decent work and economic growth", 24th for the SDG 9 "industry, innovation and infrastructure" and 25th for the SDG 17 "Partnership for the goals". The country has also recorded an unsatisfying performance towards SDG 4, the one aimed at quality education and the Goal that more than others can be considered a proxy to measure the future success of a country. However, the country has some excellences: Italy ranks at 3rd place in Europe for the SDG 2 (zero hunger); 5th for the SDG 3 (good health and well-being); 2nd for the SDG 12 (responsible consumption and production). 

The indicator was created to measure the NRRP's impacts not only in terms of progress compared to the roadmap agreed with the Commission, but also with regards to the real impacts on the European economies and environment. Given the objectives of green transition, digitisation and inclusion set by the Next Generation EU, the national GDP would be an inadequate metric for measurement, instead it is necessary to have a more complete and refined analytical tool. The Indicator therefore uses the 17 SDGs as a multidimensional reading key, which represent an element of long-term economic and social planning of the European Union and the international community, as well as a consolidated methodological framework. 

«The NRRP not only aims to accelerate the post-pandemic recovery of Italy and Europe, but also and above all to accelerate green transition, digitalization and social inclusion of the country. In this view, its success cannot be captured by simple numerical variables such as GDP, nor by the progress roadmap. For this reason, with Amundi we have launched the Sustainable Future Indicator, an analytical tool to measure in the medium-term impacts of the NRRP and other public policies applied to Italian and European societies, accurately identifying progress and any slowdowns. We believe that this tool will be greatly valuable in an international context that is affected by an inflationary and energy crisis, which pose the risk of  an unacceptable increase in inequalities». Valerio De Molli, Managing Partner and CEO, The European House - Ambrosetti

«Having reached the third edition of our Advisory Board with Ambrosetti, we wanted to confirm the commitment we made in 2019, with an analysis and reflection on Italy, a strategic market where we have been present for decades, culminated with the creation of an indicator that could be useful in identifying areas of excellence and improvement of our country, especially in this crucial historical moment. Among all possible methodological solutions, the choice to relate the Amundi Sustainable Future Indicator to the 17 SDGs of the UN is a clear indication of our determination to place sustainability, in its broadest meaning, at the basis of our activity and our proposals, because we are convinced that it may be a driver for the growth of the economy and the well-being of the community» Cinzia Tagliabue, Head of International Partner Networks Division of Amundi and CEO of Amundi SGR

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