European Union (EU) Structural Funds are financial instruments that help reduce economic and social disparities between regions in EU member states. They represent a core element of cohesion policy, aimed at supporting less developed areas, boosting employment, and enhancing competitiveness across Europe.
Key EU Structural Funds
European Regional Development Fund (ERDF)
The ERDF focuses on strengthening regional economies and driving investment into infrastructure, innovation, small and medium-sized enterprises, as well as research and development. For the 2021–2027 period, the EU allocated more than €392 billion to cohesion policy, with approximately €226 billion earmarked for the ERDF.
European Social Fund Plus (ESF+)
The ESF+ supports projects focused on increasing employment, reducing poverty and social exclusion, promoting education and training, and improving labor market access. Funding under the ESF+ is primarily managed by the member states themselves, with the European Commission performing a supervisory role. Financing is provided through two components:
- Shared management strand: Implemented by member states in partnership with the European Commission, with a budget of €142 billion for 2021–2027.
- Employment and Social Innovation (EaSI) strand: Directly managed by the European Commission with a budget of nearly €762 million for 2021–2027.
Alongside these main funds, the Cohesion Fund is designated for member states with lower gross national income per capita, such as the Czech Republic, Bulgaria or Hungary. This fund finances calls for projects centered on environmental protection, transport infrastructure development, and technical assistance.
Through these funds, the EU provides financial assistance to projects in sectors such as transport, energy, environment, employment, education, research, and social inclusion. Co-funded projects help EU member states achieve sustainable growth, reinforce their economies, and raise the standard of living across their regions.
