The Three Seas Project requires extensive funds to build the infrastructure in Central and Eastern Europe
Japan, South Korea and Qatar are signaling their interest in investing in the Central and Eastern European region, which still needs more than 600 billion euros to catch up with the western part of Europe.
The chairman of the board of the Polish BGK bank, Beata Daszyńska-Muzyczka, who is also the director of the supervisory board of the Three Seas Fund, emphasized that the total trade flow of all countries in the region exceeds 225 billion euros. The Three Seas Region generates around 20 percent of the EU’s GDP and covers an area of 1.2 million square kilometers, which is inhabited by 111 million people (a quarter of the EU population).
“We not only have to catch up with the Western European countries, but also keep up with them and keep reminding investors from all over the world how attractive and unique the Three Seas Region is with its high economic growth and crisis resistance,” she said.
At the Capital for Infrastructure24 conference, organized by the Bulgarian Development Bank in Sofia, the participants agreed that the need to meet the infrastructural requirements of the Three Seas Region was a perfect opportunity for investors and an opportunity for business Development of the region is.
Bulgarian President Rumen Radev emphasized that investments in infrastructure are a great opportunity for socio-economic development and the improvement of connections between the Three Sea States.
The economic dimension of the Three Seas Cooperation is the Three Seas Fund, in which nine of the 12 member states have invested. In addition to deepening cooperation and improving the infrastructure in the region, the fund’s aim is to generate profits for its investors, which is why countries outside of Europe are also interested in investing, including nations such as Japan, South Korea and Qatar.
Investments in transport and logistics (road and rail construction, sea transport and airports) in the Three Seas Region will amount to 290 billion euros by 2030, another 88 billion euros will be spent on energy, while the development of digital infrastructure 160 billion Euro required.
The significant need for investment in infrastructure in Central Eastern and Southern Europe is confirmed by the latest report by the International Monetary Fund.
The report suggests that a 50 percent reduction in arrears by 2030 will require up to 3 to 8 percent of GDP in annual circulation. However, these investments will carry over to future GDP growth.
Source: Telewizja Polska (tvp.info)