Cohesion Policy

European union seeks to harmonize policies, foster cooperation, and create a sense of unity among its members. One of the main pillars upholding this mission is the EU Cohesion Policy, a powerful tool aiming to reduce disparities between regions, boost economic growth, and ensure a balanced development throughout the union.

The current Cohesion Policy for the period 2021-2027 has a budget of almost €400 billion, which is more than a third of the total EU budget related to the Multiannual Financial Framework (about €1.2 trillion). Most of the policy funding is channelled through a shared management model between European Commission (DG REGIO) and the EU Member States' programming authorities.

The City of Prague has been part of the implementation structure of EU structural funds since the Czech Republic joined the EU in 2004 and has been the managing authority for several of its regional operational programmes (SPD2, SPD3, OP PA, OP PK, OP PPR). During that time, thousands of projects worth approximately EUR 750 million (EU co-financing) have been supported on the territory of the capital city under these subsidy titles, contributing to the long-term development of the city in areas ranging from research and development, to sustainable and energy-efficient mobility, to educational infrastructure.

Notable Prague projects co-funded by the Cohesion Policy can be found e.g. https://www.penizeproprahu.cz/zrealizovane-projekty/

Prague was thus previously in a position where it had the possibility to respond independently and flexibly to its own needs and specifics, as well as the needs of entities located in its territory, using cohesion funds. This is not possible in the current programming period, which is why the city is actively involved in the emerging debate on the Multiannual Financial Framework 2028-2034. Prague’s first formal input to this debate is the Preliminary position of the City of Prague on Cohesion policy after 2027 (see below), which advocates for the revitalisation of cohesion policy as a long-term and strategic investment policy that systematically and structurally supports all EU regions in their development.

Prague brings to this debate on future Cohesion policy a strong emphasis on a robust urban and suburban dimension that takes into account the role of functional metropolitan areas and that provides solutions for the strategic development of sustainable and innovative urban areas (cities, including urban centres and their commuter zones). It is the large cities, after all, that are the engine of convergence, as their development spills over into the surrounding areas.

Prague is also promoting this metropolitan dimension of cohesion policy in cooperation with other partner capitals in the EU, specifically within the Capital Cities and Regions Network. The CCRN has prepared a preliminary position paper (see below) for autumn 2023, the purpose of which is to provide a basis for the ongoing discussions on European regional policy after 2027. It therefore sets out the main issues that the signatory capitals would like to see considered in the upcoming debates.