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REACT-EU

REACT-EU

€50.6 billion (2021-2023)

REACT-EU (Recovery Assistance for Cohesion and the Territories of Europe) provides top-up financing to the 2014-2020 Cohesion policy programmes and additional to the Cohesion allocations between 2021-2027. The REACT-EU package includes €55 billion of funds that will be made available to the 2014-2020 European Regional Development Fund (ERDF), among other Cohesion funds.

REACT-EU can finance expenditure retroactively from 1 February 2020 until 31 December 2023. The Assistance supports projects that foster crisis repair capacities in the context of COVID19, and investments in operations contributing to preparing a green, digital and resilient recovery of the economy, including investments in sustainable mobility infrastructure or support for electric mobility in public transport.

The REACT-EU provides co-financing of 100% with high levels of immediate pre-financing (11%) to ease any potential crisis-ridden liquidity problems at the national level. The scope of REACT-EU support can encompass investments in urban public transport, including replacement of bus and tram rolling stock, electrification of bus networks, deployment of ITS systems, as well as junction or line infrastructure, soft mobility and cycling infrastructure, or the preparation of Sustainable Urban Mobility Plans.

Moreover, REACT-EU is expected to contribute 25% of the overall financial envelope to climate objectives. Urban public transport investments fall under €7.2 billion of ERDF allocated in support of the green transition, of which EUR 6.1 billion specifically target climate action.

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