Context
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Recently, the EU’s “Global Gateway” project unveiled outlines spending on digital, transport, energy and health projects.
About Global Gateway Project
- Global Gateway will aim at mobilising investments of up to 300 billion euros between 2021 and 2027… bringing together resources of the EU, member states, European financial institutions and national development finance institutions.
Credit: Reuters - It is the initiative Build Back Better World and the European Global Gateway that are reinforcing each other.
- The bloc will mobilize the financial aid in public and private infrastructure investment around the world.
- It is an offshoot of a plan by G7 countries to offer developing countries an alternative to Belt and Road.
- The project will probably extend the remit of the European Fund for Strategic Investment, or create a similar institution, which can act as a guarantor for riskier investments in the ‘Global South’.
- The EU has indicated it especially wants to compete for infrastructure development projects in Africa.
- The program will also seek to “crowd-in private capital” to boost investments.
- Global Gateway has the potential to turn the EU into a more effective geopolitical player.
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