Natural capital and regional growth: Insights from the European Union
The relationship between natural capital and economic growth has garnered considerable attention in recent years, especially within the framework of sustainable development and European regional cohesion policies. This report highlights the critical role of natural capital in driving regional economic growth across European NUTS 2 regions, providing new evidence on both its direct effects and spatial spillovers. A 10% increase in natural capital leads to a 0.7% rise in gross value added, with 0.4% attributed to direct effects and 0.3% to benefits from neighbouring regions. These findings indicate that natural capital not only supports the economic performance of individual regions but also fosters regional cohesion. The study underscores the importance of integrating natural capital into regional development policies and provides evidence to guide future investments in biodiversity protection and ecosystem restoration, aligning with the EU’s green transition and cohesion goals.
GIANNAKIS Elias;
GRAMMATIKOPOULOU Ioanna;
ZURBARAN NUCCI Mayra;
MAES Joachim;
LA NOTTE Alessandra;
PISANI Domenico;
2025-02-07
Publications Office of the European Union
JRC139761
978-92-68-24231-5 (online),
1831-9424 (online),
EUR 40219,
OP KJ-01-25-069-EN-N (online),
https://publications.jrc.ec.europa.eu/repository/handle/JRC139761,
10.2760/1218910 (online),
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