international Affairs Building 420 W. 118th St. New York, NY 10027, Room 404
On April 12, 2023, Debora Revoltella, Director of the Economics Department of the European Investment Bank (EIB), will deliver the lecture “Resilience and Renewal in Europe”. Jan Svejnar, Richard N. Gardner Professor of Economics and International Affairs and Director, Center on Global Economy and Governance, Columbia SIPA, will serve as moderator.
Abstract of the Talk:
A series of shocks have battered the European economy. Europe was rebounding strongly from the COVID-19 crisis, but now faces of a severe worsening of its terms of trade driven by a surge in energy prices, the cost of which must be shared between European businesses, governments and households. These added pressures risk delaying important investment to address long-term, structural challenges, including the climate transition and digitalisation. Europe’s future depends on being able to compete internationally and on leading in innovation, particularly in strategic technologies linked to the climate transition. As growth slows and budgetary pressures mount, public investment must be protected to reduce economic scarring and to stimulate the private sector. The impact of the energy shock on individual EU members and their capacity to respond vary widely. Support for innovation and the climate transition must therefore be well coordinated to promote a level playing field in the single market, tackle uncertainty about policies and foster cohesion. European firms navigated the pandemic better than expected, but they face strong headwinds from energy costs, a lack of skills, tightening financial conditions and uncertainty. High energy prices will provide an enhanced incentive for climate-related investment, but this effect may be outweighed by heightened uncertainty, which is dampening firms’ investment. Regulatory obstacles are constraining private and public investment, while a lack of available skills (such as environmental planning and engineering expertise) is hampering investment projects. Addressing technical skills and reducing administrative hurdles is critical for investment, particularly on the local level.
About the Speaker:
Debora Revoltella is the director of the Economics Department of the European Investment Bank, serving as Chief Economist, and has held this position since April 2011. The department provides impact-driven economic analysis to support operations, the global positioning as well as the policy and strategy definition of the bank. Debora holds a degree in economics and a masters in economics from Bocconi University as well as a PhD in economics from the University of Ancona in Italy. After the experience as an adjunct professor in macroeconomics at Bocconi University, Debora joined the research department of Banca Commerciale Italiana, a leading Italian Bank. In 2001, she joined UniCredit as the chief economist for Central and Eastern Europe. During these years, the department developed into a leading research centre for the region. Debora is a member of the Steering Committees of the Vienna Initiative and the CompNet, and a member of the Boards of the Joint Vienna Initiative, the SUERF and the Euro 50 Group.