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Addressing the risk of regional disparities
The economic impact of the coronavirus may deepen regional disparities and worsen the risk of divergence within Europe. To reinforce the stability of the euro area and Europe, policies have to address these risks and strengthen convergence. Given the current de-globalisation trend, there is an increasing need for a well-functioning and equitable EU single market. The “Next Generation EU” can be a vehicle for such reforms.
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About the ESM blog: The blog is a forum for the views of the European Stability Mechanism (ESM) staff and officials on economic, financial and policy issues of the day. The views expressed are those of the author(s) and do not necessarily represent the views of the ESM and its Board of Governors, Board of Directors or the Management Board.