REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL on the implementation of the Recovery and Resilience Facility
Date: 2025-10-08
Institutions: European Commission, Reform and Investment Task Force
Subjects: EU aid, EU energy policy, EU financial instrument, EU financing arrangements, economic and social cohesion, economic recovery, economic reform, investment, structural adjustment, sustainable finance

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 8.10.2025  COM(2025) 637 final  REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL on the implementation of the Recovery and Resilience Facility  
 
 
Table of Contents 
Acronyms ........................................................................................................................................................................... 3 

Executive summary ................................................................................................................................................... 4 

1.  State of play on the implementation of the RRF ..................................................................... 7 

A. Implementation, disbursements and funding ............................................................... 7 

Implementation and disbursements under the RRF have been fast, but remain uneven 
across Member States ....................................................................................................................................... 7 

Member States should comprehensively review their RRPs as soon as possible to ensure 
all milestones and targets can be implemented by 31 August 2026 ...................................... 9 

The suspension procedure remains little used ...................................................................................... 9 

The Commission has continued to issue EU bonds to finance the RRF ................................ 11 

NextGenerationEU Green Bonds underpin the Commission’s commitment to sustainable 
finance .................................................................................................................................................................... 11 

B. Revision of RRPs .................................................................................................................. 12 

Member States frequently revise RRPs to address implementation bottlenecks ............ 12 

The revised RRPs continue to fully comply with the assessment criteria laid down in the 
RRF Regulation and include important reforms ................................................................................ 13 

C. Final recipients under the RRF ........................................................................................ 15 

Member States’ reporting on the 100 largest final recipients has improved in terms of 
regularity and comparability ....................................................................................................................... 15 

Final recipients receive support for investments across all six RRF policy pillars, with a 
focus  on  the  green  transition,  the  digital  transformation  and  on  fostering  smart, 
sustainable and inclusive growth ............................................................................................................. 16 

Member States’ reporting shows that public entities but also SMEs figure prominently 
amongst the 100 largest final recipients ............................................................................................. 17 

D. Controls and audit in the implementation of the RRF ........................................... 18 

Ensuring the legality and regularity of payments and protecting the financial interests 
of the EU remains at the heart of the RRF .......................................................................................... 19 

The Commission continued to engage with the European Court of Auditors (ECA) on a 
high number of audits and swiftly followed up on its recommendations ........................... 21 

E. Communication and dialogues in 2024-2025 ........................................................... 23 

More than 1 300 projects have been added to the interactive RRF project map ............ 23 

The Commission continues to actively engage with the European Parliament, the Council 
and stakeholders ............................................................................................................................................... 23 

1 

 
 
Member  States  continue  to  hold  RRF  events  that  are  now  also  taking  place  outside 
capitals ................................................................................................................................................................... 25 

2.  Achievements under the Recovery and Resilience Facility so far ............................ 28 

A. Absorption of RRF funds ................................................................................................... 28 

RRF-related national expenditure is growing and catching up with grant disbursements, 
indicating that funds reach the real economy ................................................................................... 28 

B. Economic impacts of the RRF – new insights at sectoral level .......................... 30 

RRF measures and investments support key economic sectors ............................................... 30 

The indirect spillover impacts of the RRF are significant ............................................................. 32 

C. Progress in the implementation of country-specific recommendations ......... 35 

The RRF supports the adoption of key reforms in Member States.......................................... 35 

D. Common indicators ............................................................................................................. 38 

RRF investments and reforms produce concrete results on the ground ............................... 38 

E. Bi-annual reporting data .................................................................................................. 42 

The implementation of milestones and targets continues to progress steadily .............. 42 

F. Progress across the six policy pillars ........................................................................... 43 

Member  States  have  made  visible  implementation  progress  across  all  six  RRF  policy 
pillars ....................................................................................................................................................................... 43 

G. Progress on REPowerEU .................................................................................................... 61 

REPowerEU  chapters  continue  to  support  the  resilience  and  sustainability  of  the  EU’s 
energy systems .................................................................................................................................................. 61 

Implementation of REPowerEU measures is progressing at pace ........................................... 62 

Conclusion ...................................................................................................................................................................... 66 

2 

 
 
 
 
Acronyms 

CID 

Council Implementing Decision 

COVID-19 

Coronavirus disease of 2019 

CSR 

ECA 

EUR 

EV 

RRPs 

RRF 

R&D 

SMEs 

STEP 

Country-specific recommendation 

European Court of Auditors 

Euro (€) 

Electric vehicle 

Recovery and resilience plans 

Recovery and Resilience Facility 

Research and development 

Small and medium-sized enterprises 

Strategic Technologies for Europe Platform 

3 

 
Executive summary 

The Recovery and Resilience Facility (RRF) is the temporary crisis instrument at the 
heart  of  NextGenerationEU.  The  RRF  supports  Member  States  in  recovering  from  the 
COVID-19 pandemic and make their economies and societies more resilient and competitive. 
It is a novel performance-based instrument, providing financial support to Member States for 
implementing  a  combination  of  reforms  and  investments,  outlined  in  the  recovery  and 
resilience plans (RRPs) they agreed with the Commission. In line with its temporary nature, 
the RRF is subject to strict implementation and disbursement deadlines of 31 August and 
31 December 2026, respectively. These deadlines have provided a strong incentive to swiftly 
implement the reforms and investments in the RRPs.  

Over  the  past  four  years,  the  implementation  of  the  RRF  has  progressed  in  a 
challenging  environment  marked  by  multiple  crises.  Russia’s  unprovoked  war  of 
aggression  against  Ukraine,  the  resulting  energy  crisis,  high  inflation,  supply  chain 
bottlenecks,  and  climate-related  disasters  have  tested  the  resilience  of  our  citizens  and 
societies. In this context, the modifications of RRPs, including to add REPowerEU chapters and 
to  reflect  requests  for  additional  loans,  have  directed  funding  towards  new  priorities  and 
demonstrated the agile character of the instrument. All Member States’ plans now include a 
REPowerEU  chapter  to  support  the  diversification  of  the  EU’s  energy  supplies  and  help 
vulnerable households. 

The RRF has fuelled Europe’s recovery and generates visible impact across the EU. 
In  contrast  to  previous  crises,  public  investment  was  maintained  in  the  aftermath  of  the 
COVID-19 crisis and is expected to rise to 3.8% of GDP in 2025, up from 3.2% in 20191. This 
increase  is  due  to  both  national  and  EU  investment,  with  the  RRF  playing  a  key  role.  The 
impact of the RRF however goes beyond the one coming from the direct injection of public 
funds in each Member State’s economy. It also reflects important spillover effects coming 
from  the  impact  that  EU  support  generates  in  other  Member  States’  economies.  In  some 
cases, such spillover effects can more than double the direct financial impact of the national 
RRF  envelope  in  a  Member  State2.  In  2020-2030,  the  total  financial  impact  of  the  RRF  is 
estimated to amount to EUR 891.7 billion. This total includes direct impacts, amounting to 
EUR 546.2 billion, as well as spillover (indirect) impacts amounting to EUR 345.5 billion.  

The RRF continues to incentivise the implementation of major reforms in Member 
States. One of the most effective features of the RRF is the combination of reforms and 
investments  into  a  single,  comprehensive  plan.  By  front-loading  reforms  in  the  RRPs,  the 
Facility has been instrumental in providing the necessary conditions in the Member States 
for  subsequent  investments  to  be  more  effective.  The  RRF  has  also  fostered  the 
implementation  of  key  structural  reforms  recommended  in  the  context  of  the  European 
Semester. 

1 See European Commission’s Spring 2025 Economic Forecast: European Economic Forecast. Spring 2025.  
2 See Michels et al (2025), Economic impacts of the Recovery and Resilience Facility: new insights at sectoral level and the case of Germany, 
available at: Economic Impacts of the Recovery and Resilience Facility: New Insights at Sectoral Level and the Case of Germany. 

4 

 
 
Since the RRF’s inception, the implementation of country-specific recommendations 
(CSRs)  has  increased  significantly.  Under  the  RRF,  the  CSR  implementation  rate  by 
Member  States  increased  by  17  percentage  points  compared  to  before  the  RRF.  Member 
States have made progress, particularly regarding growth-enhancing reforms in such areas 
as access to finance, financial services and anti-money laundering, the business environment 
and  the  single  market,  and  the  labour  market.  These  enduring  reforms  are  expected  to 
significantly bolster the long-term growth potential of Member States.  

In the past 12 months, the Commission strengthened transparency and cooperation 
with  the  European  Parliament,  the  Council,  and  Member  States.  The  Commission 
engaged in regular meetings with the European Parliament, continued to hold meetings of 
the  expert  group  on  the  RRF  implementation  with  Member  States,  and  hosted  an 
Implementation Dialogue in Brussels (June 2025) bringing together national representatives 
to  discuss  administrative  and  reporting  challenges.  The  Commission  also  contributed  to 
improving the regularity and plausibility of Member States’ reporting on the 100 largest final 
recipients. The latest analysis of this data confirms public entities as the main largest final 
recipients,  with  small  and  medium-sized  enterprises  (SMEs)  featuring  prominently  among 
private entities. Moreover, through RRF events organised together with the Member States, 
the Facility and the positive changes it brings for citizens and firms were explained to the 
larger public. 

Ensuring the legality and regularity of payments and protecting the EU’s financial 
interests remain central to the RRF. Over the past year, the Commission strengthened 
its  audit  and  control  framework  by  adopting  a  dynamic  approach  and  integrating 
recommendations from the ECA and the European Parliament. National control systems were 
assessed  during  RRP  revisions,  with  audit  and  control  milestones  introduced  where 
weaknesses were identified. Through robust ex-ante controls and risk-based ex-post audits, 
the  Commission  verified  the  legality  and  regularity  of  payments  and  confirmed  the 
satisfactory fulfilment of milestones and targets. Compliance with public procurement and 
State aid rules was safeguarded through enhanced checks. Combatting fraud, corruption, and 
conflicts of interest remains a top priority, supported by reinforced cooperation with OLAF. 
Overall, Member States’ systems show positive results, with improvements monitored by the 
Commission.  

While  substantial  progress  has  been  made  and  many  success  stories  have 
materialised on the ground, implementation needs to accelerate in most Member 
States  given  the  strict  deadline  to  complete  measures  by  August  2026. 
Disbursements under the RRF were fast in the second half of 2024, particularly for grant 
support, but slowed down in the first six months of 2025. With total disbursements standing 
at  EUR 362 billion  by  31  August  2025  related  to  the  satisfactory  fulfilment  of 
2 586 milestones and targets (out of a total of 6 985), around 44% of the RRF allocation 
remains  to  be  disbursed.  Implementing  the  remainder  of  the  RRF  requires  a  continued 
commitment by all Member States. 

5 

 
Faster implementation in the remainder of 2025 and throughout 2026 is key. With 
the  end  of  the  RRF  in  sight,  the  Commission  is  working  with  Member  States  to  ensure  a 
smooth and successful closure of the instrument. The Communication NextGenerationEU – 
The road to 20263, published on 4 June 2025, provides guidance to Member States on how 
to  further  streamline  their  RRPs  and  focus  on  their  essential  elements,  which  options  to 
consider when revising them, and how to plan ahead for the submission of the final payment 
requests in 2026. By streamlining their plans and ensuring that the remaining measures are 
fully  implementable,  Member  States  can  maintain  momentum,  catch  up  with  delays  and 
successfully complete all measures by the 2026 deadlines. The Commission stands ready to 
provide continuous guidance and support throughout the process. 

This report is the fourth in a series of yearly publications on the implementation 
of  the  RRF,  in  line  with  the  requirements  of  Article  31  of  the  RRF  Regulation4.  The  first 
chapter presents the state of play regarding disbursements, revisions of RRPs, final recipient 
reporting, audit and control-related developments, and communication activities. Chapter 2 
presents an overview of the results and impact of the RRF so far, with particular focus on the 
RRF  policy  pillars  and  REPowerEU,  as  well  as  progress  with  country-specific 
recommendations, the common indicators and bi-annual reporting by Member States.  The 
cut-off date for all data and information included in this report is 31 August 2025, unless 
otherwise specified. 

3 See COM(2025) 310 final/2 (2025) NextGenerationEU – The road to 2026, available at: ad5f00c9-4101-41a0-9d8f-e78f06c0c7ed_en.  
4 Regulation (EU) 2021/241 of the European Parliament and of the Council of 12 February 2021 establishing the Recovery and Resilience 
Facility. 

6 

 
 
1. State of play on the implementation of the RRF 

With less than one year and a half before the end of the RRF, all efforts must be 
geared towards planning ahead for the submission of the last payment requests 
by  30 September  2026  and  preparing  for  the  final  stretch  of  the  Facility.  While 
31 December  2026  is  the  legal  deadline  for  the  Commission  to  make  payments, 
31 August 2026  is  the  deadline  to  complete  all  milestones  and  targets.  Continued  close 
cooperation between the Member States and Commission services will be crucial until the 
last moment of the Facility. 

A. Implementation, disbursements and funding 

Implementation  and  disbursements  under  the  RRF  have  been  fast,  but  remain 
uneven across Member States 

As of 31 August 2025, over 55% of RRF funds have been disbursed to the Member 
States.  Since  the  beginning  of  the  RRF,  26  Member  States  have  submitted  98  payment 
requests  to  the  Commission,  leading  to  the  disbursement  of  EUR 362 billion.  This  total 
includes EUR 295 billion disbursed upon the submission of payment requests, EUR 56.6 billion 
in  RRF  pre-financing  disbursed  to  21  Member  States  until  31  December  2021,  and 
EUR 10.4 billion  in  REPowerEU  pre-financing  disbursed  to  21  Member  States.  During  the 
reporting  period,  i.e.  1  September  2024  to  31  August  2025,  the  Commission  disbursed 
EUR 97 billion, of which EUR 50 billion in grants and EUR 47 billion in loans. Table 1 provides 
a comprehensive overview of the payment requests submitted by Member States and the 
corresponding disbursements made by the Commission, covering both grants and loans. 

Disbursements have been faster for non-repayable support (grants) than for loans, 
with more than 60% of the grant envelope disbursed. Of the total amount of funds 
disbursed so far, EUR 221 billion is non-repayable support (grants) (equating to 62% of total 
non-repayable support envelope), while EUR 141 billion has been disbursed in the form of 
loans  (equating  to  49%  of  the  total  loan  envelope).  The  faster  disbursement  for  grants 
reflects  the  fact  that  Member  States  prioritised  grant  over  loan  disbursements  in  the 
implementation of their RRPs. Moreover, a large portion of the loan support was only added 
with amendments to the initial recovery and resilience plans.  

The funds disbursed reflect concrete achievements on the ground. The EUR 362 billion 
disbursed so far reflect the successful implementation of 2 586 milestones and targets out 
of the 6 985 milestones and targets included in the plans (37%). 

7 

 
Table 1: State of play on implementation of RRF payment requests, by 31 August 2025 

E
B

G
B

Z
C

K
D

E
D

E
E

E
I

L
E

S
E

R
F

R
H

T
I

Y
C

V
L

T
L

U
L

U
H

T
M

L
N

T
A

L
P

T
P

O
R

I
S

K
S

I
F

E
S

* 

  ▲ 

  ● 

  ● 

  ● 

  ▲ 

  ▲ 

  ▲ 

  ▲ 

pre-financing 
21 
disbursed 
before 
31 December 2021 
excluding 
and 
REPowerEU 
pre-
financing 
(EUR 56.6 billion) 
21 REPowerEU pre-
financing  disbursed 
(EUR 10.4 billion) 
98 
payment 
requests  submitted 
to  the  Commission, 
including 
loans 
where relevant 
82 
disbursed 
satisfactory 
fulfilment  of  M&Ts 
(EUR 295 billion) 
Note: * Ireland did not request any pre-financing. ▲ No pre-financing available as the Council Implementing Decision had not 
been adopted by 31 December 2021, which was a prerequisite for pre-financing. ● No REPowerEU pre-financing available as the 
REPowerEU chapter had not been adopted by 31 December 2023, which was a prerequisite for REPowerEU pre-financing. ■ The 
Netherlands and Sweden did not request any REPowerEU pre-financing. 
Source: European Commission 

3x  2x  4x  3x  2x  3x  3x  6x  5x  4x  7x  8x  5x  3x  4x  2x 

2x  1x  3x  3x  2x  3x  2x  5x  5x  4x  5x  7x  4x  3x  3x  2x 

payments 
upon 

  3x  2x  3x  3x  7x  3x  4x  6x  2x  1x 

  3x  2x  1x  2x  6x  3x  3x  5x  2x  1x 

  ■ 

  ■ 

  ● 

The  pace  of  implementation  differs  among  Member  States.  Six  Member  States 
(Denmark, Estonia, France, Italy, Germany and Malta) have received payments corresponding 
to  more  than  65%  of  their  total  RRF  envelope,  and  another  four  Member  States  (Greece, 
Latvia, Portugal and Slovakia) have received more than 50% of their allocation. 15 Member 
States  (Austria, Belgium,  Croatia, Cyprus, Czechia, Finland, Ireland, Lithuania, Luxembourg, 
Netherlands,  Poland,  Romania,  Slovenia,  Spain  and  Sweden)  have  reached  disbursements 
amounting to more than 30% of their RRF allocation, while two Member States (Bulgaria and 
Hungary) remain below the 30% threshold. 

With  less  than  one  year  remaining  until  the  August  2026  deadline,  effective 
implementation  of  reforms  and  investments  by  Member  States  is  increasingly 
urgent. In June 2025, the Commission issued CSRs on RRF implementation to all Member 
States,  with  the  recommendations  being  tailored  to  reflect  the  scale  and  urgency  of  the 
required action. Member States whose RRP represents more than 3% of their GDP and who 
still  need  to  fulfil  over  85%  of  their  milestones  and  targets  (i.e.  Bulgaria,  Hungary  and 
Romania)  were  recommended  to  urgently  accelerate  their  implementation  efforts,  while 
Member States with between 85% and 50% of their milestones and targets still unfulfilled 
at  the  time  (i.e.  Croatia,  Cyprus,  Czechia,  Greece,  Italy,  Latvia,  Lithuania,  Poland,  Portugal, 
Slovakia, Slovenia, and  Spain) were recommended to  increase their pace.5 Member  States 
whose  RRP  represents  less  than  3%  of  their  GDP  were  encouraged  to  complete 
implementation by August 2026. 

5 The cutoff date for the 2025 Country-specific recommendations is 4 June 2025. Member States have since continued implementing their 
RRPs, leading to higher fulfilment shares for milestones and targets in some cases.  

8 

 
 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The  2025  country-specific  recommendations  also  encourage  Member  States  to 
make  use  of  the  opportunities  and  incentives  provided  by  the  Strategic 
Technologies  for  Europe  Platform  (STEP),  including  the  opportunity  of  allocating 
additional  resources  to  the  InvestEU  Member  State  Compartment.  Additionally,  Member 
States  can  also  increase  absorption  by  supporting  projects  with  a  STEP  Seal  (as  of 
September 2025, there are some 400 of these) to improve their own competitiveness as well 
as the competitiveness of the EU as a whole. 

Member States should comprehensively review their RRPs as soon as possible to 
ensure all milestones and targets can be implemented by 31 August 2026 

In its June Communication NextGenerationEU – The road to 2026, the Commission 
urged Member States to streamline their RRPs in order to optimise outcomes amid 
delays and the upcoming end of the RRF in 2026. The Communication provided guidance 
on  revising  plans,  emphasising  that  only  measures  that  can  be  fully  implemented  by 
31 August 2026 should remain in the RRPs. Measures whose full and timely implementation 
is unsure should be removed to prevent the decommitment of funds. Plan revisions should 
also serve as an opportunity to review the wording of measures, milestones and targets, to 
ensure they focus solely on essential elements. The aim is to simplify the implementation 
and assessment of the RRPs and to minimise administrative burden, while adhering to the 
requirements under the RRF Regulation. The Commission strongly encourages Member States 
to undertake these plan revisions promptly, and at the latest by the end of 2025, to leave 
sufficient time for the implementation and assessment of all milestones and targets. 

The suspension procedure remains little used 

Since the inception of the RRF, less than 1% of milestones and targets have been 
suspended6. Specifically, 21 milestones and targets across 10 payment requests have been 
suspended  since  2021  (see  Table  2),  representing  0.8%  of  all  milestones  and  targets 
assessed  by  the  Commission  so  far.  The  limited  application  of  suspensions  indicates  that 
when facing implementation issues, Member States prefer delaying payment requests and/or 
revising their Commission Implementing Decisions (CIDs) to address such issues rather than 
opting for payment suspension.  

Most  suspended  milestones  and  targets  are  implemented  within  the  six-month 
suspension period leading to the suspensions being lifted. In most suspension cases, 
the  relevant  milestones  and  targets  are  re-assessed  as  satisfactorily  fulfilled  and  the 
suspended funds subsequently disbursed. Of the EUR 1.09 billion suspended (in suspension 
procedures  already  closed),  EUR 1.07 billion  (98%)  have  been  disbursed  to  the  relevant 
Member States following the suspension period, whilst EUR 19.5 million (less than 2%) have 

6 The partial payment methodology provides flexibility to disburse to Member States part of the funds, when a small number of milestones 
or targets are not yet satisfactorily fulfilled. Pursuant to Article 24(8) of the RRF Regulation, Member States have six additional months to 
undertake the necessary steps to ensure the satisfactory fulfilment of the suspended milestone(s) or target(s). Following this period, the 
Commission re-assesses the payment request and either lifts the suspension, if the specific milestone(s) or target(s) is (are) assessed as 
fulfilled or reduces the Member State’s financial allocation if the milestones or targets remain not satisfactorily fulfilled. 

9 

 
 
been decommitted, as the milestones or targets remained non-satisfactorily fulfilled at the 
end of the suspension period. Currently, EUR 1.6 billion are currently suspended for Czechia, 
Romania and Spain (see Table 2). 

The Commission encountered a first case of reversal under the RRF framework this 
year. A reversal occurs when a milestone or target initially assessed as satisfactorily fulfilled, 
and  for  which  the  Member  State  was  paid,  is  later  found  to  be  no  longer  fulfilled  due  to 
actions attributable to the Member State7. If the Member State fails to rectify the situation, 
the Commission must put the EU budget in the same position as if that milestone or target 
had never been considered as fulfilled. The first case of reversal involves Spain, leading to 
the suspension of EUR 626.6 million from the fifth instalment of non-repayable support that 
was disbursed on 7 July 20258. Spain has six months from the suspension to take corrective 
measures and ensure that the milestone can again be considered satisfactorily fulfilled. 

Table 2: State-of-play of suspension decisions, at 31 August 2025 

Member 
State 

Amount 
suspended 

Date of 
suspension 
decision 

Number of 
milestones 
/targets 
suspended 

Lithuania 

EUR 26.2 million 
(grants) 

28/04/2023 

Romania 

EUR 53.4 million 
(loans) 

21/09/2023 

Portugal 

Spain 

Italy 

Belgium 

Cyprus 

Czechia 

Romania 

EUR 810.5 million 
(grants) 

EUR 158.1 million 
(grants) 

EUR 110.1 million 
(grants) 

EUR 31 million 
(grants) 

EUR 43.1 million 
(grants) 

EUR 260.3 million 
(grants) 

EUR 869.8 million 
(EUR 814.4 million 
for grants and 
EUR 55.4 million 
for loans) 

22/12/2023 

19/07/2024 

26/07/2024 

16/09/2024 

14/11/2024 

18/12/2024 

28/05/2025 

2 

2 

3 

1 

1 

1 

1 

2 

6 

Final outcome after suspension 
period 

Suspension  lifted  for  EUR  17.5 
million  and  EUR  8.7  million 
decommitted on 06/05/2024 

Suspension  lifted  for  EUR  42.6 
million  and  EUR  10.8  million 
decommitted on 18/12/2024 

Suspension 
26/07/2024 

Suspension 
31/07/2025 

fully 

lifted 

on 

fully 

lifted 

on 

Suspension rescinded 

Suspension rescinded 

Suspension 
22/07/2025 

fully 

lifted 

on 

Suspension ongoing 

Suspension period ongoing 

7 In accordance with the second sentence of Article 24(3) of RRF Regulation. For further information on the reversal framework, see Annex 
II of the 2023 RRF Annual Report (COM(2023) 545 final), 19 September 2023. 
8  See  Commission  Implementing  Decision  of  7  July  2025  on  the  suspension  of  the  subsequent  disbursement(s)  of  the  non-repayable 
support for Spain (C(2025) 4643 final). 

10 

 
 
Spain 

EUR 626.6 million 
(reversal for 
grants) 

EUR 500.3 million 
(grants) 

07/07/2025 

31/07/2025 

1 

2 

Suspension period ongoing 

Suspension period ongoing 

Source: European Commission’s Recovery and Resilience Facility webpage, available at: https://commission.europa.eu/business-
economy-euro/economic-recovery/recovery-and-resilience-facility/country-pages_en  

The Commission has continued to issue EU bonds to finance the RRF  

In 2025, the Commission continued to raise funds in the markets through its unified 
funding approach, ensuring swift payments to Member States. Under this approach, 
the  Commission  issues  single  branded  EU  bonds  and  allocates  the  proceeds  to  a  central 
funding  pool  from  which  the  EU's  different  policy  programmes  are  funded.  By 
31 August 2025,  the  total  amount  of  EU  outstanding  bonds stood  at  EUR 662.6 billion,  of 
which EUR 75.1 billion in the form of NextGenerationEU Green Bonds. The Commission also 
continued  to  issue  3-month  and  6-month  EU  bills  to  meet  short-term  funding  needs.  By 
31 August 2025, the total amount of outstanding EU bills stood at EUR 33.3 billion. With the 
proceeds  raised  from  EU  bond  issuances,  the  Commission  has  been  able  to  continue  the 
smooth funding of Member States’ RRPs. The Commission  has made all disbursements to 
Member States under the RRF as soon as they fell due.  

In June, the Commission released its funding plan for the second semester of 2025. 
The funding plan for the second half of 2025 includes a funding target of up to EUR 70 billion 
of  long-term  EU  bonds  between  July  and  end-December  2025.  The  funding  plan  for  the 
second semester  built on the completion of  the EUR 90 billion  funding target for  the first 
semester  of  2025,  with  issuances  aiming  to  mobilise  a  total  funding  of  around 
EUR 160 billion for 2025. This target builds on previous years’ issuances (from EUR 120 billion 
in 2023 to EUR 140 billion in 2024) and reflects the increased funding needs over the next 
two years, including almost EUR 335 billion of RRF funds over its remaining lifetime. 

NextGenerationEU  Green  Bonds  underpin  the  Commission’s  commitment  to 
sustainable finance 

In  2020,  the  Commission  announced  its  intention  to  fund  up  to  30%  of 
NextGenerationEU  by  issuing  Green  Bonds.  This  demonstrates  the  Commission's 
commitment to sustainable finance, bringing a new highly-rated and liquid-green asset to 
the  market,  giving  access  to  green  investments  for  a  wide  range  of  investors,  and 
strengthening the role of the European Union and the euro in the sustainable finance markets. 
The  NextGenerationEU  Green  Bonds  not  only  signal  the  EU's  strong  commitment  to 
sustainability, but also integrate green initiatives into the economic recovery from the COVID-
19 pandemic, promoting a resilient and sustainable growth path for the future. Since its first 
issuance  of  Green  Bonds  in  October  2021,  the  Commission  has  issued  a  total  of 
EUR 75.1 billion  of  NextGenerationEU  Green  Bonds,  with  new  issuances  calibrated  to 
correspond to reported green expenditure from Member States and to fund a wide array of 

11 

 
green  measures.  The  EU  has  become  one  of  the  world’s  largest  issuers  of  green  bonds, 
increasing  this  market  by  a  significant  amount.  By  adhering  to  the  International  Capital 
Market Association Green Bond Principles and ensuring transparent reporting, the EU sets a 
high  standard  in  the  Green  Bond  market,  encouraging  the  flow  of  capital  towards 
environmentally positive investments. 

National expenditure to implement measures financed by NextGenerationEU Green 
Bonds  are9  related  mainly  to  energy  efficiency  measures  (38%  of  allocated 
expenditure) and clean transport and infrastructure (35%). Clean energy and network 
are  the  third  biggest  category  of  expenditure  with  8.9%  of  expenditure  among  nine 
expenditure categories to which NextGenerationEU Green Bonds proceeds can be allocated. 
Between  2024  to  2025  the  pool  of  planned  measures  eligible  for  financing  under 
NextGenerationEU Green Bonds has also remained largely stable, with only a slight decrease 
from EUR 264.6 billion to EUR 262.8 billion, due to minor adjustments as part of the revisions 
of the RRPs. 

In  line  with  the  reporting  requirements  of  the  NextGenerationEU  Green  Bond 
in  November  2024  the  second 
Framework,  the  Commission  published 
comprehensive NextGenerationEU Green Bonds Allocation and Impact Report. The 
analysis shows that measures financed by these bonds can reduce greenhouse gas emissions 
by 54.7 million tonnes per year, equivalent to approximately 1.5% of EU annual greenhouse 
gas emissions for the year 2022. The next report will be published by the end of 2025. 

B. Revision of RRPs 

Member States frequently revise RRPs to address implementation bottlenecks  

Member States continued to revise their RRPs to address implementation delays 
and  mitigate  external  constraints.  The  lingering  effects  of  past  high  inflation,  supply 
chain disruptions, political instability and, in certain instances, natural disasters have posed 
challenges  for  some  Member  States  to  implement  specific  RRP  measures.  With  the 
Commission’s support, Member States used the flexibility embedded in the RRF Regulation 
to revise relevant measures and counter these external constraints. In 2023, Member States 
also  revised  their  plans  to  reflect  the  updated  financial  allocations10  and  incorporate 
REPowerEU chapters. Since then, Member States have increasingly used targeted revisions 
to address implementation bottlenecks (e.g. by clarifying the wording of the CID, replacing 
some  investments,  etc.).  This  pattern  of  regular  revisions  has  continued  throughout  the 
reporting period (see Table 3). 23 Members States submitted targeted revisions during that 
time, and the Council adopted the last REPowerEU Chapter in July 202511. 

9 By 31 August 2025. 
10 In line with Article 11(2) of the RRF Regulation, the maximum financial contribution for non-repayable financial support of each Member 
State was updated in June 2022 on the basis of Eurostat outturn data on the change in real GDP growth over 2020 and the aggregate 
change in real GDP for the period 2020-2021. 
11 Bulgaria was the only Member State that had not submitted its REPowerEU chapter by 31 August 2024 (i.e. reporting period for the 2024 
Annual Report). Bulgaria’s REPowerEU chapter has since then been adopted by the Council on 18 July 2025. 

12 

 
 
Table  3:  State  of  play  on  the  submission  of  modified  RRPs  and  REPowerEU  chapters  by 
31 August 2025 

E
B

G
B

Z
C

K
D

E
D

E
E

E
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L
E

S
E

R
F

R
H

T
I

Y
C

V
L

T
L

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T
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L
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T
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S

revisions 
the 
to 

revisions 
the 

82 
submitted 
Commission 
79 
assessed  by 
Commission 
79 
revisions 
adopted by Council 
Source: European Commission 

7x  2x  3x  3x  4x  1x  5x  4x  5x  1x  2x  5x  4x  2x  3x  3x  1x  2x  3x  2x  3x  4x  1x  3x  2x  4x  3x 

6x  2x  3x  3x  4x  1x  5x  4x  5x  1x  2x  5x  4x  2x  3x  3x  1x  2x  3x  2x  3x  3x  1x  3x  2x  4x  2x 

6x  2x  3x  3x  4x  1x  5x  4x  5x  1x  2x  5x  4x  2x  3x  3x  1x  2x  3x  2x  3x  3x  1x  3x  2x  4x  2x 

The revised RRPs continue to fully comply with the assessment criteria laid down 
in the RRF Regulation and include important reforms 

All  revised  RRPs  support  Member  States  in  addressing  their  specific  needs  and 
continue to adequately support the green and digital transition. Most RRP revisions 
consisted in targeted revisions, where measures were adjusted or replaced by more suitable 
alternatives. Revised RRPs must continue to comply with all the assessment criteria of the 
RRF Regulation, and the Commission closely verifies this in its assessment. All RRPs continue 
to address all or a significant subset of the relevant CSRs and respect the do-no-significant-
harm  (DNSH)  principle.  Furthermore,  at  least  37%  of  all  RRPs  allocations  continue  to 
contribute to climate objectives and at least 20% to digital objectives (see Figure 1). Overall, 
the share of ex ante estimated RRF costs that supports the climate continues to stand at 
42%, whilst the share of estimated cost supporting digital policies remains at 25%, i.e. above 
the targets set in the RRF Regulation. Finally, the RRPs continue to foster social convergence, 
with an estimated EUR 163.7 billion contributing to social policy measures12. 

All RRPs include a wide range of key structural reforms that have the potential to 
boost long-term economic growth and strengthen structural resilience. A quarter of 
all  RRF  reforms  (282  in  total)  target  the  quality  of  institutions,  aiming  to  improve  public 
administration  (91  reforms),  taxation  systems  (52),  public  procurement  (17),  and  the 
judiciary,  as  well  as  anti-fraud  and  anti-corruption  frameworks  (84)  (see  Figure  2a).  In 
addition,  17%  of  RRF reforms  focus  on  improving  the  business  environment,  including  by 
simplifying  regulation,  supporting  research  and  development,  enhancing  financial  market 
functioning, and facilitating the digitalisation of businesses. Among the reforms to improve 
skills and labour market outcomes are 105 reforms to strengthen education systems and 39 
to  improve  labour  market  functioning.  Another  35  reforms  enhance  the  sustainability  of 
social security and pension systems (see Figure 2b). Around 346 reforms are related to the 
green  transition,  notably  in  areas  such  as  renewable  energy  and  networks,  sustainable 
mobility, climate change mitigation and energy efficiency. 

12 Given the importance of social spending in the aftermath of the COVID pandemic, the  RRF Regulation empowered the Commission to 
adopt a delegated act establishing a methodology to report on estimated social expenditure, including on children and the youth, under the 
RRF (Article 29(4)b). The methodology adopted by the Commission classifies all estimated expenditure financed by the Facility relating to 
reforms and investments into nine broad policy areas, which are then aggregated into four social categories: (1) employment and skills, (2) 
education and childcare, (3) health and long-term care, and (4) social policies; see Commission Delegated Regulation (EU) 2021/2105. 

13 

 
 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Figure  1:  Share  of  RRPs  estimated  total  allocation  supporting  climate  and  digital  objectives, 
following revision of RRPs 

Note: The RRPs had to specify and justify to what extent each measure contributes fully (100%) to, partly (40%) to or has no 
impact (0%) on the climate and/or digital objectives. The contributions to climate and digital objectives have been calculated 
using Annexes VI and VII of the RRF Regulation, respectively. Combining the coefficients with the cost estimates of each measure 
allows calculating to what degree the plans contribute to the climate and digital targets. 
Source: Recovery and Resilience Scoreboard 

Figures  2a  and  2b:  A  number  of  structural  reforms  are  included  in  the  plans–  in  the  area  of 
Quality of institutions (left) and Skills and labour market (right) 

Source: European Commission 

14 

Pu lic adminis ra ion    udiciary  an i fraud andan i corrup ionframewior s   Ta a ion sys ems   Pu licprocuremen     a  uali y of ins i u ionsEduca ionsys ems     a our mar e func ioning    us aina ili y ofsocial securi y andpension sys ems        ills and la our mar e                                                                                                                                                                                             Clima e   igi al  Targe  Clima eTarge   igi al 
 
 
C. Final recipients under the RRF 

Member States’ reporting on the 100 largest final recipients has improved in terms 
of regularity and comparability 

In the 2024-2025 reporting rounds, data reporting practices became more regular 
in most Member States. Under the RRF Regulation, Member States must report twice per 
year  on  the  100  final  recipients  receiving  the  highest  amount  of  funding  for  the 
implementation of measures under the RRF. During the last reporting round in April 2025, 25 
Member States provided updated information on the 100 largest final recipients, with two 
Member States not providing an update. Most Member States align the publication of the 
lists  with  the  bi-annual  reporting  schedule  and  report  in  April  and  October  each  year,  as 
suggested  by  the  Commission.  The  Commission  centralises  and  publishes  the  data,  as 
mandated  under  the  RRF  Regulation.  It  regularly  reminds  Member  States  of  their  existing 
reporting  obligations  and  encourages  them  to  follow  the  suggested  bi-annual  reporting 
schedule. The Commission also follows up with Member States that have not complied with 
their  reporting  obligations  within  the  suggested  timeline,  which  has  led  to  more  regular 
reporting overall in April and October. 

The  Commission  supported  Member  States  in  implementing  the  reporting 
requirements  and  the  European  Parliament  in  further  enhancing  transparency 
regarding  final  recipients.  To  address  possible  unclarities  among  Member  States 
regarding  the  definition  of  a  “final  recipient”  under  the  RRF  Regulation,  the  Commission 
clarified its guidance to Member States in Annex V to the 2024 RRF Annual Report13. It also 
organised a dedicated RRF expert group meeting on 6 April 2025 for Member States to share 
best  practices  and  to  prevent  misinterpretations  regarding  final  recipient  reporting 
obligations. In addition, the Commission has verified the plausibility of the lists published by 
the Member States and followed up with national authorities as needed to ensure compliance. 
Moreover,  the  Commission  supported  the  European  Parliament  in  its  efforts  to  enhance 
transparency  on  the  use  of  funds  beyond  the  requirements  stemming  from  the  RRF 
Regulation.  In  February  2025,  the  Commission  communicated  to  all  Member  States  the 
request by the Chair of the European Parliament Committee on Budgetary Control to provide 
the names of the 100 largest final  recipients, including contractors and subcontractors.  It 
subsequently  shared  the  information  received  from  Member  States  with  the  European 
Parliament. 

To enhance transparency, Member States  have developed various  approaches to 
publishing  information  on  the  100  largest  final  recipients.  In  line  with  the  legal 
obligation,  introduced  with  the  REPowerEU-related  amendment  of  the  RRF  Regulation  in 
early 2023  to  create  an  easy-to-use  public  portal  for  reporting  purposes  regarding  final 
recipients, most Member States use existing accounting databases to extract information on 
final recipients, which they publish on publicly accessible national websites. Some Member 
States  have  created  webpages  that  combine  different  RRF  reporting  requirements  –  for 

13 See the 2024 RRF Annual Report Annex V. 

15 

 
 
example,  lists  of  final  recipients  and  common  indicators,  as  is  the  case  for  the  Austrian 
Transparency Database. Others, such as Croatia, Slovenia and Czechia, publish not only the 
100 largest final recipients under the RRF, but also information on other sources of funding, 
such as national and other EU funds. A few Member States update their lists more frequently 
than twice a year, as in the case of Italy (monthly) and Portugal (weekly). The Commission’s 
Recovery and Resilience Scoreboard14 provides links to these national websites, as well as 
stand-alone lists of the 100 largest final recipients including the measure descriptions. The 
data on final recipients also feeds into the map of projects supported by the RRF15. 

Final  recipients  receive  support  for  investments  across  all  six  RRF  policy  pillars, 
with a focus on the green transition, the digital transformation and on fostering 
smart, sustainable and inclusive growth 

The reported data on final recipients shows that funding from the RRF is allocated 
across all six policy pillars (see Figure 3), reflecting the instrument’s ambition to deliver 
change across policy areas. According to the latest Member States’ reporting in 2025, the 
majority of the 100 largest final recipients have been engaged in measures that promote the 
green transition (23.6%) and foster smart, sustainable, and inclusive growth (20.6%). These 
are followed by measures supporting digital transformation (20.5%) and strengthening social 
and  territorial  cohesion  (20.4%).  Within  the  green  transition  pillar,  the  largest  amounts 
received  by  final  recipients  relate  to  investments  in  sustainable  mobility  and  energy 
efficiency.  This  also  explains  why  rail  infrastructure  managing  authorities  and  energy 
companies are often among the largest final recipients, particularly for implementing high-
cost projects in the related pillar areas. Under the growth pillar, the RRF primarily supports 
measures  related  to  research,  development  and  innovation,  building  renovation  and 
construction,  and  the  cultural  sector.  E-government,  digital  public  services,  and  business 
digitalisation  are  types  of  measure  receiving  the  most  funding  under  the  digital 
transformation pillar. For the smart, sustainable, and inclusive growth pillar, measures mainly 
focus on adult learning and territorial infrastructure and services. 

14 See https://ec.europa.eu/economy_finance/recovery-and-resilience-scoreboard/disbursements.html?table=finalRecipientByCountry.  
15 See https://commission.europa.eu/business-economy-euro/economic-recovery/recovery-and-resilience-facility_en#map.  

16 

 
 
Figure 3: Contribution towards the six policy pillars from the amounts received by the 100 largest 
final recipients 

Source: European Commission’s own calcula ion  ased on  he final recipien s’ da a provided  y Mem er   a es 

Member  States’  reporting  shows  that  public  entities  but  also  SMEs  figure 
prominently amongst the 100 largest final recipients 

The largest final recipients under the RRF are mainly from the public sector. Around 
70% of the entities reported by Member States in the context of their reporting on the 100 
largest final recipients are public entities, comprising bodies from the governmental sector 
(68%) and local authorities (32%). This reflects the definition of a final recipient as set out 
in the RRF Regulation, which refers to the last entity receiving funds under the RRF, excluding 
contractors  and  sub-contractors.  As  a  result,  ministries,  state  agencies,  state-owned 
companies,  universities,  schools,  municipal  companies,  and  local  authorities  are  often  the 
main final recipients of RRF funds, typically for the implementation of large-scale projects 
serving the public interest, often in the field of sustainable mobility and energy efficiency, 
even though the funds eventually often flow to contractors or subcontractors. For example, 
the  Ministry  of  the  Environment  and Energy  of Greece  is  the largest  final  recipient  in  the 
Greek plan for measures aimed at installing energy storage systems to increase renewable 
energy  penetration.  Public  entities  are  also  frequently  represented  by  state-owned 
enterprises, such as Administrador de Infraestructuras Ferroviarias, the Spanish state-owned 
railway infrastructure manager, which is the largest final recipient for projects improving the 
quality and reliability of rail transport services, including track renewal, station upgrades, and 
improvements to electrification and signalling systems. In Italy, there is a similar case with 
Rete  Ferroviaria  Italiana,  which  receives  funds  to  support  the  deployment  of  railway 
infrastructure  for  high-speed,  freight,  regional  railways  and  European  Railways  Traffic 
Management  System.  In  some  cases,  a  significant  number  of  municipalities  and  local 
authorities  are  among  the  largest  recipients.  For  example,  Bulgaria’s  list  of  largest  final 
recipients includes 43 local authorities participating in modernising educational infrastructures. 

17 

 reen Transi ion    igi alTransforma ion    mar   sus aina leand inclusivegrow h    ocial and erri orial cohesion    eal h  economicand ins i u ionalresilience   Policies for  hene   genera ion   
 
 
Most  final  recipients  from  the  private  sector  are  SMEs.  According  to  the  latest 
reporting in 2025 (see Figure 4), around 30% of the largest final recipients as reported by 
Member  States  were  private  entities.  Among  them,  SMEs  form  the  largest  group  (56%), 
followed by large companies (33%). A sizeable share of private final beneficiaries were start-
ups (11%). In a few Member States, such as Malta and Denmark, a large majority of the 100 
largest final recipients are private entities. This reflects the focus of their RRPs on measures 
supporting private companies – support for large companies in Denmark for research and 
development  activities,  and  for  SMEs  in  Malta,  to  promote  the  uptake  of  private  electric 
vehicles. Cyprus has the highest representation of start-up companies, linked to its Innovation 
Funding Programme for SMEs and start-ups to develop open-access research infrastructures. 

The funding received by the largest final recipients in each Member State varies 
significantly across Member States. The highest amount received by a final recipient is 
approximately EUR 10.6 billion (Italy, Rete Ferroviaria Italiana) for one of the country’s largest 
railway  investments,  while  the  lowest  amount  is  EUR 10 000  (Luxembourg,  Commune  de 
Grevenmacher)  to  support  municipal  actions  in  natural  environment  and  biodiversity 
conservation.  The  average  amount  received  by  the  100  largest  final  recipients  is  nearly 
EUR 45 million, while the median value stands at EUR 6 million.  

Figure 4: The categories of the largest final recipients as reported in the lists of Member States 

Source: European Commission’s own calcula ion  ased on  he final recipien s’ da a provided  y Mem er   a es. 

D. Controls and audit in the implementation of the RRF  

The Commission’s RRF control framework is composed of two layers: controls to 
provide assurance on the legality and regularity of the disbursements to Member 
States and controls to ensure the adequate protection of the financial interests of 
the EU. Regarding the legality and regularity of transactions, the Commission conducts 
thorough  ex  ante  controls  prior  to  disbursing  funds  to  Member  States.  These  controls 
comprehensively verify that all milestones and targets included in the payment request have 

18 

               overnmen  ins i u ion ocal au hori y ME arge companies  ar  up 
 
been  satisfactorily  fulfilled.  Following  the  disbursement,  the  Commission  carries  out  risk-
based  ex  post  audits  on  milestones  and  targets  to  obtain  additional  assurance  on  their 
satisfactorily fulfilment. In addition, to ensure the adequate protection of the financial 
interests  of  the  EU  (PFIU),  the  Commission  continues  to  assess  each  national  control 
system at the time of endorsing revised RRPs, to ensure it is robust and fit for purpose. When 
deficiencies in the control systems  are detected, specific audit and control milestones  are 
introduced in the revised RRPs. Such milestones must be fulfilled before any future payment 
is made. The Commission also conducts risk-based system audits to check the procedures in 
place  in  Member  States  for  preventing,  detecting  and  correcting  fraud,  corruption,  and 
conflicts of interests, as well as double funding. Finally, compliance audits verify the reliability 
of the audit work performed by national audit authorities, providing additional assurance in 
line with the single audit approach. In all types of audits, the Commission checks that Member 
States  verify  compliance  with  public  procurement  and  State  aid  rules,  including  the 
effectiveness of such checks. 

Ensuring  the  legality  and  regularity  of  payments  and  protecting  the  financial 
interests of the EU remains at the heart of the RRF 

Between 1 September 2024 and 31 August 2025, the Commission carried out ex 
post  audits  on  milestones  and  targets  included  in  19  payment  requests16.  The 
selection  of  milestones  and  targets  for  audit  is  informed  by  a  risk  assessment  based  on 
multiple factors17. As a result, the Commission audited a total of 57 out of 853 milestones 
and targets included in the related payment requests. The Commission found no evidence 
that the audited milestones and targets had not been satisfactorily fulfilled. Additionally, any 
discrepancies identified between the declared data and the audited data were within the 5% 
margin, which is the same threshold considered by the Commission in its ex ante assessment. 

Regarding compliance with public procurement and State aid rules, the Commission 
continued to implement enhanced comprehensive checks in all types of audit work. 
Through its audits, the Commission verified that all Member States that received a payment 
between  1  September  2024  and  31  August  2025  had  complied  with  their  obligations  to 
regularly  check  compliance  with  public  procurement  and  State  aid  rules,  including  the 
effectiveness  of  these  checks.  The  European  Court  of  Auditors  (ECA)  acknowledged  the 
progress made through  the use  of comprehensive checklists and  in March 2025 provided 
targeted recommendations for further improvement. To date, the Commission has already 
implemented  five  out  of  the  seven  accepted  or  partially  accepted  recommendations 
stemming  from  the  Special  Report  09/2025  on  systems  for  ensuring  compliance  of  RRF 
spending with public procurement and State aid and is further fine-tuning its audit work in 
line with the accepted recommendations. 

16 These audits concern payment requests submitted by Belgium, Cyprus, Czechia, Denmark (September 2024 and March 2025), Estonia, 
France, Germany, Estonia, Greece, Italy (November 2024 and February 2025), Latvia, Lithuania, Netherlands, Portugal, Romania and Spain. 
17 The risk assessment is based on a number of criteria, such as the type and number of implementing authorities, the type and number of 
final recipients, the tagging applied and the complexity of the verification mechanism. 

19 

 
 
Risk-based targeted system audits remain a priority for the Commission. Already by 
the end of 2023, the Commission had conducted at least one system audit on the protection 
of the financial interests of the EU (PFIU) in each Member State. In 2024, the Commission 
carried out system audits on PFIU  in Belgium and Lithuania. In the first half of 2025, the 
Commission performed additional targeted system audits on PFIU in Ireland, France, Poland 
and Finland. These four audits covered two coordinating bodies, two national audit bodies 
and 187 implementing bodies, including ministries and agencies, which were selected based 
on  a  risk-assessment  framework.  Priority  was  given  to  Member  States  where  controls  on 
public procurement and State aid  had  not  been carried out using the enhanced  checklists 
adopted in September 2023. Looking ahead, the Commission aims to conduct system audits 
in two additional Member States (Spain and Sweden) by the end of 2025. 

The current audit work reveals a positive overall picture of the implementation of 
internal  control  systems  across  Member  States,  although  there  is  still  room  for 
improvement.  Notably,  different  good  practices  were  observed  among  audited 
implementing bodies,  including  the establishment of procedures  to detect potential  fraud, 
corruption, conflicts of interests, and double funding, leveraging data mining tools such as 
ARACHNE18. Furthermore, significant progress has been made in data collection in line with 
Article 22(2)(d) of the RRF Regulation. Nonetheless, areas for improvement remain, such as 
strengthening  ex  ante  controls  to  prevent  conflicts  of  interests,  reinforcing  procedures  to 
verify  the  absence  of  double  funding,  ensuring  compliance  with  publicity  obligations,  and 
improving the reporting of irregularities to OLAF. In response to these audit findings, Member 
States have already started to implement the necessary improvements, and the Commission 
is closely monitoring their implementation progress. 

In line with the approach outlined in the RRF audit strategy (December 2023), the 
Commission has intensified its compliance audits, which assess the reliability of 
the  work  performed  by  national  audit  bodies.  Between  1  September  2024  and 
31 August 2025, the Commission conducted five compliance audits, or combined audits with 
compliance components. Specifically, three dedicated compliance audits were carried out in 
Finland,  Poland  and  the  Netherlands,  while compliance  audit  components  were  integrated 
into two milestones and targets audits in Italy and Lithuania. By the end of August 2025, a 
total of 21 Member States had undergone a compliance audit or had been subject to an audit 
that included a compliance dimension. In line with the spirit of the single audit approach, in 
January 2025, the Commission clarified the prerequisites and conditions for relying on the 
work  of  national  audit  bodies  in  the  framework  of  ex  post  audits.  On  this  basis,  the 
Commission takes into account the results from the compliance audits as appropriate when 
selecting the milestones and targets subject to audit. This aims to facilitate complementarity 
between national and European audits authorities, minimise audit duplications, and enhance 
the overall efficiency of audit work.  

18 ARACHNE is an IT tool for data mining and data enrichment developed by the European Commission. ARACHNE helps identifying the 
projects drawing on several EU funds where a potential risk of double funding exists. It shows beneficiaries, contractors, subcontractors, 
partners, and consortium members involved in multiple projects irrespective of their role in the various projects. 

20 

 
 
The fight against fraud, corruption, and conflicts of interests is a top priority for 
the Commission. In line with Article 22 of RRF Regulation, it is primarily the Member States’ 
responsibility to prevent, detect and correct serious irregularities, including fraud, corruption 
and conflicts of interests. However, the Commission controls that Member States fulfil their 
obligations  pursuant  to  the  RRF  Regulation.  In  addition,  the  Commission  has  the  right  to 
reduce proportionately support under the RRF and recover any amount due to the EU budget 
in cases of serious irregularities affecting the financial interests of the EU that have not been 
corrected by the Member State. 

To further strengthen the RRF anti-fraud governance at EU level, the Commission 
enhanced  its  cooperation  with  the  European  Anti-Fraud  Office  (OLAF).  As  of 
31 August 2025, the Commission has notified OLAF on 37 cases of potential irregularities 
identified  either  during  ex-post  audits  or  from  open  sources  in  respect  of  RRF  supported 
actions and OLAF informed the Commission of 40 other cases, making a total of 77 potential 
irregularities.  As  a  result  of  its 
issued  a  total  of  thirteen 
recommendations  as  of  31 August 2025,  comprising  ten  financial  recommendations  and 
three administrative recommendations concerning in total eight Member States. 

investigations,  OLAF 

On  8  May  2025,  following  one  of  the  OLAF  recommendations,  the  Commission 
adopted  its  first  decision  on  the  reduction  of  support  by  EUR 1.2 million  for 
Slovakia in accordance with Article 22(5) of the RRF Regulation and Article 19(1) and (2)(a) 
of the Financing Agreement pursuant to the framework for “Reductions and Recoveries under 
the  Recovery  and  Resilience  Facility”.  The  reduction  was  implemented  together  with  the 
disbursement of the fifth payment to Slovakia on 10 July 2025. 

The  close  cooperation  between  the  Commission  and  the  European  Public 
Prosecutor's Office (EPPO) is also key to protecting the financial interests of the 
EU. Since the start of the implementation of the RRF and up to 31 August 2025, the EPPO 
has informed the Commission that they have opened 84 investigations, of which 73 were 
active  cases  in  Court  proceedings  or  ongoing  investigations.  Notably,  73%  of  the 
investigations relate to one measure in a single Member State. These figures demonstrate 
the effectiveness of national and EU level control systems in detecting conflicts of interests, 
fraud and corruption. 

The Commission continued to engage with the European Court of Auditors (ECA) on 
a high number of audits and swiftly followed up on its recommendations 

In addition to the audits carried out by the Commission itself, the implementation 
of  the  RRF  is  scrutinised  by  the  ECA  through  audits  on  each  individual  grant 
payment as well as numerous performance audits on the RRF’s setup or specific 
thematic areas. The ECA has so far audited all RRF grant payments made to Member States. 
In addition, the ECA has finalised 10 performance audits and two reviews dedicated to, or 
with a key focus on the RRF and covered the RRF in many other audits. In 2025, three of 
these  10  performance  audits  and  a  review  specifically  dedicated  to  the  RRF  have  been 

21 

 
published up to 31 August19. Seven additional ECA audits focusing on the RRF are ongoing 
and two further audits are expected to start by end of 2025. In addition, RRF-related matters 
are considered in ECA reviews and thematic special reports on specific policy areas. 

The Commission has swiftly followed up on all relevant ECA recommendations that 
required  further  action.  For  2024-2025,  the  Commission  has  received  47  RRF-related 
recommendations  or  sub-recommendations  from  ECA  annual  or  special  reports20.  After 
careful review, the Commission determined that 17 of these recommendations could not be 
implemented in line with the legal basis and objectives of the RRF Regulation and thus did 
not accept them, while 11 are recommendations for future instruments. Of the remaining 19 
RRF-related  recommendations  received,  the  Commission  considered  that  15  had  been 
implemented. This leaves  four recommendations which are  under implementation. Two  of 
these  will  be  implemented  by  the  end  of  September  2025.  Following  the  ECA’s 
recommendations,  the  Commission  has  taken  several  concrete  actions,  including  issuing 
additional guidance on the eligibility start date and the concept of substitution of national 
budgetary  expenditure21,  enhancing  record  keeping  and  documentation  on  its  payment 
request  assessments,  organising  exchanges  of  good  practice  amongst  Member  States, 
continuing to review milestones and targets under revision to ensure clarity of requirements, 
and  providing  further 
information  on  the  RRPs’  contribution  to  country-specific 
recommendations, as presented in this report.  

Benefiting  from  the  findings  and  recommendations  from  various  audits22,  the 
Commission has adopted a dynamic approach to audit and control and has further 
strengthened  its  audit  and  control  framework  for  the  RRF.  In  March  2025,  the 
Commission finalised a framework for the use of commitments from Member States in the 
context of the audit and control milestones under the RRF. in January 2025, the Commission 
also  further  refined  the  approach  on  how  to  address  the  risk  of  reversals,  which  are 
systematically  considered  during  its  own  ex  post  audits  on  milestones  and  targets.  The 
Commission also further expanded the audit work performed on national audit authorities, 
strengthening the effectiveness of their work and their detection capacity. This was done with 
the aim of relying more extensively on the work of national audit bodies in the context of ex 
post audits and is in line with the overall simplification efforts. Moreover, the Commission 
has  continued  to  strengthen  its  control  framework  in  the  area  of  public  procurement  and 
State aid, by using enhanced comprehensive checklists in all type of audits, refining its audit 
approach  and  defining  the  number  of  procurement  procedures  to  be  checked  in  the 
Commission’s  audits  per  implementing  body.  The  checklist  on  state  aid  was  also  further 

19 See Special Report 09/2025 “Systems for ensuring compliance of RRF spending with public procurement and State aid rules”, Special 
Report 10/2025 “Labour market reforms in the national recovery and resilience plans”, Special Report 13/2025 “Support from the Recovery 
and Resilience Facility for the digital transition in EU Member States” and Review 02/2025: Performance-orientation, accountability and 
transparency – lessons to be learned from the weaknesses of the RRF | European Court of Auditors. 
20 See ECA SPECIAL REPORT No 13 2024 - Absorption of funds from the RRF; See ECA SPECIAL REPORT No 14 2024 - Green transition 
Unclear contribution from the RRF; See ECA SPECIAL REPORT No 22 2024 - Double funding from the EU budget; See ECA SPECIAL REPORT 
No 09 2025 – Systems for ensuring compliance of RRF spending with public procurement and State aid rules; See ECA SPECIAL REPORT No 
10 2025: Labour market reforms in the national recovery and resilience plans; See ECA SPECIAL REPORT No 13 2025 - Support from the 
RRF for the digital transition in EU Member States; and see the 2023 ECA Annual Report.  
21 See the RRF Annual Report 2024 Annex II and Annex III. 
22 These auditors include the Commission’s Internal Audit Service, the European Court of Auditors, the European Council, and the European 
Parliament. 

22 

 
 
updated to reinforce the verifications performed at granting authority level. In addition, the 
Commission  has  further  reinforced  its  assurance:  it  has  clarified  how  audit  observations 
made  before  the  draft  report  stage  and  the  status  of  implementation  of  audit 
recommendations  are  taken  into  account  in  the  Member  State’s  risk  assessment,  which 
underpins the declaration of assurance for RRF. 

E. Communication and dialogues in 2024-2025 

More than 1 300 projects have been added to the interactive RRF project map  

The interactive map23, launched in March 2023, showcases selected RRF-supported reforms 
and investments across Member States. Regularly updated by the Commission, it indicates 
each project’s location, status, and links to further resources, including national RRF websites 
and, where available, project-specific pages. To date, the project map features over 3 000 
projects across all Member States, with more than 1 300 added during the reporting period. 

Picture  1:  The  interactive  map  showcasing  selected  RRF  supported  reforms  and  investments 
across Member States 

Source: European Commission 

The Commission continues to  actively engage with the European Parliament, the 
Council and stakeholders 

Throughout the implementation of the RRF, the Commission has maintained robust 
engagement  with  both  the  European  Parliament  and  the  Council,  ensuring 
transparency and cooperation. The Commission continues its regular exchange with the 
European  Parliament  on  a  broad  array  of  RRF-related  topics.  In  the  reporting  period,  the 

23 Available at https://commission.europa.eu/business-economy-euro/economic-recovery/recovery-and-resilience-facility_en#map.  

23 

 
 
 
Executive Vice-President for Cohesion and Reforms and the Commissioner for Economy and 
Productivity  have  participated  in  four  high-level  Recovery  and  Resilience  Dialogues24  with 
Members of the European Parliament allowing for in-depth discussions on strategic priorities 
and progress. Overall, 20 Recovery and Resilience Dialogues have been held in total since the 
beginning of the Facility. Additionally, the Commission has taken part in three meetings with 
the Working Group of the joint ECON-BUDG Committees, providing insights and updates on 
procedural  and  policy  matters.  These  meetings  covered  topics  such  as  the  economic  and 
social  impact  of  the  RRF,  the  RRF  control  framework  and  fraud  prevention  system25, 
supporting continued transparency and information sharing. The European Parliament as well 
as the Council also participate as observers in the meetings of the RRF Expert Group.  

The Commission also maintains its informal expert group to facilitate dialogue with 
Member  States  on  RRF  implementation,  organising  regular  sessions  to  share 
insights  and  best  practices.  Serving  as  an  essential  platform  for  collaboration,  the 
informal expert group on the implementation of the RRF has convened three meetings in the 
reporting period26 covering a range of topics. Overall, 31 expert group meetings have taken 
place  since  the  beginning  of  the  Facility.  In  October  2024,  the  Commission  presented  the 
RRF Annual Report 2024  to  the  expert  group.  The  meeting  of  April  2025  covered  various 
policy topics such as transparency requirements, data collection under the RRF and update 
on the sampling methodology. The expert group meeting, held on 7 July 2025, covered topics 
such  as  the  Commission's  Communication  NextGenerationEU  –  The  road  to  2026,  RRP 
simplification, the EPPO’s role and fraud prevention, and the economic impacts of the RRF. 

The Commission hosted an Implementation Dialogue on the RRF in Brussels in June 
2025,  bringing  together  national  representatives  from  24  Member  States  in  a 
hybrid  format  to  discuss  administrative  and  reporting  challenges. Implementation 
Dialogues are a new consultation tool, where Commissioners meet with relevant stakeholders 
to seek feedback on how to facilitate the implementation of and simplify EU policies, rules, 
and  spending  programmes.  Participants  in  this  Dialogue  identified  the  heavy  workload  in 
gathering evidence for  milestones and targets as a main issue.  In particular, the Member 
States  pointed  to  several  implementation  bottlenecks,  including  the  extensive  evidence 
required for assessing measures, delays and frequent changes in guidance, and the absence 
of standardised requirements for CIDs. They also noted difficulties in linking measures to a 
clear intervention logic and in separating them from fixed instalments. The lack of synergies 
between the various audit authorities and the reporting requirements on final recipients were 
indicated as other type of challenges. Member States advocated for proportionate, risk-based 
assessments of milestones and targets and simpler audit structures, stressing the need for 
synergies with national audit authorities. Commissioner Dombrovskis committed to reflecting 
some of the feedback collected from the representatives in the upcoming simplification of 
RRPs, following the Commission’s Communication NextGenerationEU – The road to 2026. 

24 The 20th Recovery and Resilience Dialogue took place on 8 September 2025, i.e. after this annual report’s cut-off date. 
25 See Information provided to the European Parliament or to the Council on the Recovery and Resilience Plans - European Commission. 
26 To date, there have been 31 meetings of the  expert group. See Register of Commission expert groups and other similar entities for 
information on all meetings of the RRF informal expert group. 

24 

 
 
Picture 2: Participation of Valdis Dombrovskis, European Commissioner, to the Implementation 
Dialogue on the Recovery and Resilience Facility (RRF) 

Source: European Commission 

Member States continue to hold RRF events that are now also taking place outside 
capitals  

Member  States  organise  RRF  events  beyond  capitals,  bringing  impact  closer  to 
communities. RRF events27 bring together national authorities, Commission representatives, 
stakeholders (including social partners and civil society representatives) and recipients of RRF 
support to spotlight the progress in implementing the various projects proposed by Member 
States in their national RRPs. To date, RRF events have taken place in most Member States, 
providing an opportunity to showcase how the RRF is making a tangible difference locally. 
These events take place in the context of regular RRP monitoring missions in the Member 
State. As the reforms and investments funded by the RRF are being successfully finalised 
and the number of finalised projects is increasing, the RRF events are often combined with 
project visits, giving the opportunity to present the results  of the Recovery and Resilience 
Facility on the ground and to the local communities.  

In 2025,  some RRF events  were held outside capital cities for the first  time. For 
example, the French RRF event took place in Lille, with beneficiaries’ testimonies and project 
visits highlighting the impact of the RRF in the Haut de France region. Similar events in other 
Member States also showed how the RRF supports communities across Europe, beyond the 
capitals. 

27 List of RRF events: RRF events - European Commission. 

25 

 
 
 
Examples of RRF events 

In January 2025, the RRF event in Croatia featured the participation of EVP Fitto, alongside 
Prime Minister Plenković. The focus was on competitiveness and the green transition in 
Croatia. The event was followed by project site visits in the town of Varaždin. 

Picture  3:  Participation  of  Raffaele  Fitto,  Executive  Vice-President  of  the  European 
Commission, to a RRF event in Croatia 

Source: European Commission 

In February 2025, the RRF event in Greece brought together key stakeholders to discuss 
two central themes: competitiveness priorities for both Greece and the EU, and a vision of 
a clean industrial deal that can drive sustainable growth across the region. 

In  February  2025,  Commissioner  Valdis  Dombrovskis  attended  the  RRF  event  in  Riga, 
Latvia.  During  his  keynote  speech,  he  engaged  with  various  stakeholders  on  Latvia’s 
progress and future priorities under NextGenerationEU. The Commissioner also took part 
in a press briefing alongside Latvia’s Finance Minister to discuss the implementation of 
the Latvian RRP. One of the panel discussions focused on maximizing the RRF benefits for 
people and regions, with the participation of Latvian rural forum.  

26 

 
 
Picture 4: Participation of Valdis Dombrovskis, European Commissioner, to a RRF event in Riga, 
Latvia 

Source: European Commission 

Successful communication actions and campaigns have been implemented at EU 
and national level. The last wave of the NextGenerationEU campaign in early 2025 showed 
how  the  RRF  is  boosting  Europe’s  economy  and  making  our  societies  stronger  and  more 
resilient, delivering tangible results for Europeans through its many projects28. The campaign 
reached over 300 million citizens. Dedicated local campaigns showcasing local projects and 
testimonials  also  have  been  rolled  out  in  several  Member  States.  According  to  a 
Eurobarometer opinion poll, released in May 2025, 56% (+2 percentage points compared to 
autumn 2024) believe that NextGenerationEU can be effective in responding to the current 
economic challenges29. 

28 NextGenerationEU: for a stronger, more resilient Europe - European Union 
29 See standard Eurobarometer 103 - Spring 2025 - May 2025 - Eurobarometer survey 

27 

 
 
 
2. Achievements  under  the  Recovery  and  Resilience 

Facility so far 

A. Absorption of RRF funds 

RRF-related  national  expenditure  is  growing  and  catching  up  with  grant 
disbursements, indicating that funds reach the real economy 

Absorption  of  RRF  funds  has  increased  in  2023  and  2024,  especially  regarding 
grant  support.  In  the  RRF  context,  “absorption”  refers  in  this  report  to  the  national 
expenditure  recorded  by  Member  States  to  implement  RRF  measures  financed  by  RRF 
grants30,  as  a  percentage  of  their  total  RRF  grant  allocation.  In  aggregate,  national  public 
expenditure related to measures financed by RRF grants increased from  20% of the total 
RRF grant allocation at the end of 2022, to 45% in 2024. At the same time, the Commission 
grant disbursements to Member States increased from 26% of the RRF grant envelope at the 
end of 2022 to 55% at the end of 2024. While RRF-related public expenditure lagged behind 
RRF grant payments to Member States in the first years of implementation, it has increased 
since and largely caught up with more than 80% of the funds received having been spent.  

The difference between RRF disbursements to Member States and their recorded 
expenditure reflects the nature of the RRF as a performance-based instrument and 
its  specific  features.  For  the  EU  as  a  whole,  the  pace  of  RRF  grant  payments  by  the 
Commission to Member States has somewhat outstripped the relevant recorded expenditure 
(i.e. absorption) in Member States so far, as illustrated in Figure 5. This is linked to the specific 
design features of the RRF. First, it is due to the payment of prefinancing to most Member 
States  once  the  initial  RRPs  are  approved.  Second,  it  is  related  to  the  fact  that  the  first 
payments  were  usually  linked  to  the  implementation  of  reforms  (which  were  often 
frontloaded and usually do not lead to financial costs for Member States) and milestones 
covering the first stages of the lifecycle of investment projects, which do not normally entail 
the recording of significant expenditure (e.g. design of projects, preparatory stages including 
launch of calls for tenders). Nevertheless, as investment projects are completed in the last 
years of the Facility, the recording of the related expenditure by Member States has been 
accelerating and is expected to accelerate further. At the same time, in some Member States, 
absorption has largely exceeded RRF grant payments (see Figure 5). This is because measures 
are being implemented on the ground, while the concerned Member States received few or 
no payments (this is the case, for  instance, for Luxembourg, Belgium or Ireland, with few 
payments received during the time  of reporting; and  for  Hungary31 and Sweden32,  with no 
payments received in the reporting period upon a submitted payment request). 

30 This analysis focuses on the absorption of RRF grants, as RRF loans are used by a subset of Member States and are to a large extent 
supporting  financial  instruments,  which  have  a  more  backloaded  absorption  profile.  As  of  end-2024,  Member  States  had  recorded 
expenditure accounting for 12% of the RRF loans envelope, while 37% of the loan’s envelope had been disbursed by the Commission. 
31 Hungary received REPowerEU grants pre-financing in January 2024. 
32 Sweden did not receive any RRF grants over 2020-2024. The first payment to Sweden took place in July 2025. 

28 

 
 
Figure  5:  RRF  grant  payments  made  by  the  Commission  to  Member  States,  and  RRF-related 
national expenditure, as % of total RRF grants allocation (2020-2024) 

Note:  Based  on data  reported  to Eurostat  by  the  national  statistical  institutes,  published  for  the  first  time  in  February 2025. 
Sweden did not receive any RRF grants over 2020-2024. The payment reflected for Hungary corresponds to the REPowerEU grants 
pre-financing received in January 2024. 
Source: European Commission 

Absorption of RRF funds varies significantly across Member States and appears to 
be related to the size of their plans. As Figure 6 illustrates, expenditure recorded for the 
implementation  of  RRF  grant  measures  accounted  for  a  relatively  moderate  share  of  the 
total RRF grant allocation in several Member States in 2024 (notably in Bulgaria, Poland and 
Slovakia).  As  the  figure  also  indicates,  low  absorption  rates  are  in  some  Member  States 
related to the large size of these Member States’ grant allocation relative to the size of their 
economy, which leads to administrative challenges. Another explanatory factor is the nature 
and sequence of the measures included in the RRPs. For example, absorption rates would 
usually be lower for Member States with a relatively bigger share of frontloaded reforms in 
their plan. Finally, the impact of inflation or supply chain disruptions across the EU hindered 
the  implementation  of  some  projects  on  the  ground  to  varying  degrees  across 
Member States.  This  affected  the  pace  of  expenditure  due  to  factors  such  as  unawarded 
tendering, budgetary constraints and project redesigns.  

29 

                             RR  gran s paymen s made  y  he Commission  o Mem er   a es as   of  o al gran s alloca ionRR  rela ed na ional e pendi ure as   of  o al gran s alloca ion 
Figure  6:  RRF-related  national  expenditure  as %  of  total  RRF grants  allocation,  and total  RRF 
grants allocation as % of GDP (2020 to 2024)  

Note: Based on data reported to Eurostat by the national statistical institutes, published for the first time in February 2025.  
Source: European Commission 

B. Economic impacts of the RRF – new insights at sectoral level33 

RRF measures and investments support key economic sectors 

The  RRF  provides  support  across  a  wide  range  of  policy  domains  and  economic 
sectors, reflecting its ambition to deliver deep and lasting structural change. This 
is demonstrated by a new sectoral database34 created by the Commission that classifies all 
RRF reform and investment measures into 241 categories of economic activities, based on 
Eurostat’s  standard  NACE  classification35.  The  classification  was  performed  using  internal 
artificial intelligence tools and validated through three rounds of manual robustness checks 
to ensure accuracy and consistency across measures. Reform measures were assigned to the 
economic sector  they  target,  while  investment measures  were  attributed  to  the  economic 
sector  where  they  generate  demand.  This  sector-based  approach  provides  an  additional 
analytical  perspective  on  the  economic  sectors  affected  by  the  RRF  and  is  fully 
complementary to other categorisations, such as the use of intervention fields for climate 
and digital tagging that serve to identify a measure’s contribution towards climate and digital 

33 The analysis is based on Michels et al (2025), Economic impacts of the Recovery and Resilience Facility: new insights at sectoral level 
and the case of Germany, available at: Economic Impacts of the Recovery and Resilience Facility: New Insights at Sectoral Level and the 
Case of Germany. 
34 This database is available at Call for papers on the economic impact of the RRF - European Commission. The figures presented here 
reflect the situation as of January 2025 and assume full implementation of all national plans. The database was last updated in June 2025 
and can be further revised in light of updates to national recovery and resilience plans. 
35 NACE Rev. 2 - Statistical classification of economic activities - Products Manuals and Guidelines - Eurostat 

30 

0 1 2 3   5     8 0 20  0  0 80 100   of  DP  of RRF grants allocationRRF related national expenditure as   of total RRF grants allocationTotal RRF grants allocation as   of  DP 
 
goals. It offers a novel way to visualise the scope of the RRF’s activities  across economic 
sectors and to assess their macroeconomic and sectoral impact within each Member State, 
while also improving transparency in the use of RRF funds. 

A unique strength of the RRF is that it supports both reforms and investments. Its 
reforms  are  driving  the  green  and  digital  transition,  enhancing  competitiveness 
and strengthening societal resilience. An analysis of the database indicates that of the 
1 131 reform measures supported by the RRF, about one third directly advance the green 
transition, with energy market reforms alone accounting for 11%. A further 25% strengthen 
public  institutions  –  modernising  administrations,  improving  tax  systems,  and  reinforcing 
judicial  and  anti-corruption  frameworks  –  an  essential  foundation  for  long-term  growth. 
Around  17%  focus  on  improving  the  business  environment,  through  simpler  regulation, 
support  for  research  and  development  (R&D),  and  more  efficient  financial  markets.  An 
additional 15% aim to enhance health and social care services, and 13% strive to improve 
skills and labour market outcomes (see Figure 7). 

Figure 7: Overall distribution of reforms by key policy domains, in % of total number of reforms 
(total=1 131) 

Source: European Commission 

31 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
Reforms  and  investments  under  the  RRF  share  a  common  sectoral  focus, 
confirming that Member States have actively matched reforms with accompanying 
investments. A large share of RRF-funded investments is concentrated in sectors central to 
the green transition, such as the energy-efficient modernisation of buildings, construction of 
renewable energy infrastructure, electricity grids, railway infrastructure, and investments in 
sustainable transport vehicles and electrical equipment (e.g. batteries and charging points). 
Sectors supporting the digital transformation, notably for the public administration, feature 
prominently, including investments in IT software services, telecommunication infrastructure, 
electronic products and electrical equipment. Investments in education and training, and R&D 
are  widely  supported  across  national  plans,  reflecting  their  role  in  boosting  long-term 
resilience and competitiveness. While all Member States share the common green and digital 
objectives,  the  sectoral  focus  of  RRF  investments  varies,  reflecting  national  priorities  and 
economic contexts (see Figure 8). 

Figure 8: Sectoral distribution of investment measures by country, in % of national envelope 

Source: European Commission 

The indirect spillover impacts of the RRF are significant 

Assuming  full  implementation,  RRF-funded  investments  alone  are  estimated  to 
raise GDP by EUR 891.7 billion over the period 2020–203036. The actual impact will, 
however, depend on the degree to which the grants and loans allocated to Member States 
will eventually be disbursed. Of the estimated increase in GDP of EUR 891.7 billion between 
2020  and  2030,  EUR 546.2 billion  stem  from  direct  effects,  generated  in  each  country 
through the implementation of its own recovery and resilience plan, which boosts production 
and  employment  in  domestic  industries.  A  further  EUR 345.5 billion  arises  from  spillover 
effects, as countries benefit from higher exports of final and intermediate goods thanks to 

36 The macroeconomic analysis of the impact of RRF-funded investments is based on the European Commission’s well-established FIDELIO 
model. This general equilibrium model allows to disentangle the direct and spillover impacts of the RRF, analysed as a demand-driven shock 
and considering value chain linkages across 64 sectors and bilateral trade between 46 countries. 

32 

                                  T E   RC C   EE   R EE  U E T   T UMTN P PTR     E  E rand o alRenova ion of residen ial  uildingsModernisa ion of non residen ial  uildingsCons ruc ion in elec rici y    elecommunica ion sec orsCons ruc ion of railwaysCivil engineering pro ec s  incl.  ood pro ec ion  reen energy pro ec s for al erna ive fuels  incl. hydrogen Transpor  vehiclesElec rical e uipmen   incl. charging s a ions Machinery   e uipmen  igi isa ion    T so wareElec ronic produc s  her sec orsEduca ion    rainingResearch   developmen  
 
the implementation of other countries’ national recovery and resilience plans.  iven the scale 
of their national envelopes, Italy and Spain are projected to see the largest absolute gains, 
with estimated GDP effects of EUR 189.6 billion (8.9% of current GDP) and EUR 142.7 billion 
(9.5%), respectively. These gains are primarily driven by the direct impact of their national 
plans, which stimulate domestic employment and production and support local supply chains. 
Poland,  Greece,  Romania,  and  Portugal  are  also  among  the  countries expected  to  see  the 
highest  GDP  gains.  This  figure  excludes  the  additional  long-term  benefits  expected  from 
reforms which, as shown in a recent study by the European Central Bank37 could deliver a 
long-term impact at least as large as that of investments and potentially even greater. 

Thanks to the deep economic integration of EU economies, the benefits from each 
RRP extend well beyond national borders. The increase in demand triggered by the RRF 
in one country leads to higher demand for imported final and intermediate goods from other 
countries, benefiting many European companies. For example, a measure to incentivise the 
purchase of electric vehicles (EVs) in the Austrian plan not only benefits local consumers, but 
also stimulates the demand for cars produced in Germany, France and Italy, as well as for 
car components made across the EU (see box below).  

Spillover effects account for around 40% of the RRF’s total economic impact and, 
in some Member States, they more than double the benefits of their own national 
plans. Germany, for example, emerges as the largest beneficiary of spillover effects in the 
EU and the third-largest beneficiary of the RRF thanks to these spillovers. The total estimated 
impact on  ermany’s economy amounts to EUR 66.1 billion, twice the size of its RRF envelope, 
of  which  EUR 42.6 billion  stem  from  spillovers.  In  the  Netherlands,  Ireland,  Luxembourg, 
Austria and Denmark spillovers more than double-or even triple-the impact of national plans. 
Belgium, Finland and Sweden also benefit significantly, with spillovers nearly doubling their 
domestic impact. For France, spillovers are also substantial and account for about one third 
of the total RRF impact (see Figure 9). 

Economic integration in the Single Market acts as a powerful amplifier of economic 
impacts. Member States that are highly integrated in EU value chains tend to experience the 
largest spillovers relative to the size of their economy. Slovakia, Slovenia and Czechia are 
among the EU countries with the highest spillover-to-GDP ratios at 1.8%, 1.4%, and 1.3%, 
respectively. They are followed by Hungary and Austria, where spillovers amount to 1.2% and 
1.1% of national GDP. 

37 See Bańkowski, K., Benalal, N., Bouabdallah, O., De Stefani, R., Dorrucci, E., Huber, C., Jacquinot, P., Modery, W., Nerlich, C., Rodríguez-Vives, 
M., Szörfi, B., Zorell, N., Zwick, C. (2024), Four years into NextGenerationEU: what impact on the euro area economy?, ECB Occasional Paper 
Series, no. 362. 

33 

 
 
Figure 9: Direct and spillover impacts on value added relative to national envelope, by country 
(in EUR billion) 

Source: European Commission 

Sectoral impact of the RRF: Germany, the Netherlands, France and Sweden 

Germany, the Netherlands, France and Sweden benefit significantly from spillover effects 
from  other  Member  States’  plans,  reflecting  their  deep  integration  in  the  EU’s  Single 
Market.  Around half of these cross-border gains originate from the Spanish and Italian 
plans, due to the large size of their investment envelopes. 

In  Germany38,  four  manufacturing  sectors  are  the  primary  beneficiaries  of 
spillovers from other countries plans: machinery and equipment; motor vehicles; 
computer,  electronic  and  optical  products;  and  electrical  equipment.  Major 
companies such as Volkswagen, Mercedes-Benz, and Opel have gained from e-mobility 
projects  in  Spain  as  well  as  EV  subsidies  in  France,  Austria  and  Slovakia.  Siemens  has 
benefited from investments in Spain, Denmark, Portugal, France, Austria and Bulgaria and 
BASF  from  investments  in  Spain,  France  and  Slovakia,  while  Infineon  benefited  from  a 
semiconductor  project  in  Austria.  Domestically,  the  construction  and  IT  sectors 
benefit the most from Germany’s own plan with companies like Deutsche Telekom 
and SAP involved in projects supporting the digital transformation. 

In the Netherlands39, spillovers mostly benefit wholesale trade, manufacturing 
of  electronics,  machinery  and  equipment  as  well  as  legal  and  accounting 

38  See  Economic  impact  of  the  Recovery  and  Resilience  Facility:  The  Case  of  Germany,  European  Commission,  July  2025,  available  at: 
ae7f84c5-c902-45f3-9f04-39596571f35c_en.  
39 See Economic impact of the Recovery and Resilience Facility: The Case of Netherlands, European Commission, July 2025, available at: 
1aea2ede-464b-4a27-9749-3293f16a4483_en.  

34 

 irec  impac   pilloverimpac              TE                 E RP E R PTN C  E T E U R E       T       UC EEMT 
 
 
services.  NXP  has  contributed  to  microelectronic  initiatives  in  Germany,  Austria  and 
Romania, while Philipps has supplied advanced medical equipment for projects in France, 
Portugal, Cyprus and Malta, and participated in robotics and AI developments in Italy. VDL 
Groep  has  benefited  from  green  mobility  projects  in  Belgium  and  Italy,  and  Allego  has 
installed  charging  stations  in  Belgium.  Consulting  firms  such  as  Arcadis  and  Wolters 
Kluwer have supported RRF projects in Belgium and Czechia.  The construction sector 
and  nature  reserve  activities  benefit  the  most  from  direct  effects  of  the 
Netherland’s  own  plan,  with  companies  like  Klimaatgarant,  for  example,  working  on 
energy-efficiency improvements of dwellings.  

The construction, education, and R&D sectors, as well as employment support 
services – particularly those targeting young people – are the main beneficiaries 
of the direct impact of the French RRP40. Companies like Japet Médical, Ariane Group 
and  Genevia  have  received  support  for  R&D  initiatives,  and  Léon  Grosse  from  energy-
efficient  renovation  projects.  France  benefits  also  strongly  from  spillovers,  in 
particular  in  the  manufacturing  sector  and  certain  service  sectors,  such  as 
wholesale  trade  and  legal,  accounting,  and  consultancy  activities.  Airbus  has 
participated in clean aviation projects in Spain and delivered helicopters to Greece. Renault 
has supplied fire trucks to Spain and benefited from EV subsidies in Germany, Austria and 
Slovakia. Saint-Gobain has benefited from a decarbonisation project in Spain.  

In Sweden41, the construction, education, and social sectors have benefited the 
most from Sweden’s own plan with examples including Trenum, Rikshem and Almen 
21 for housing projects. Spillover effects primarily benefit the IT, wholesale trade, 
R&D, and manufacturing sectors, including machinery and equipment as well as 
the  automotive  sector.  Ericsson  has  benefited  from  a  microelectronics  project  in 
Germany and digitalisation projects in France, Croatia and Portugal. Volvo has received 
support for the development of electro mobility in Germany, has supplied fire trucks to 
Spain  and  benefited  from  EV  subsidies  in  Germany  and  France.  Saab  has  delivered 
equipment for a vessel traffic station in Cyprus. 

C.  Progress 

in 

the 

implementation  of 

country-specific 

recommendations 

The RRF supports the adoption of key reforms in Member States 

The RRF has incentivised the implementation of country-specific recommendations 
since  2021.  As  required  by  the  RRF  Regulation,  the  recovery  and  resilience  plans  must 
contribute to effectively addressing all or a significant subset of the challenges identified in 
the relevant CSRs or other relevant documents in the context of the European Semester. The 

40 See L’Impact économique de la facilité pour le reprise et résilience : le cas de la France, European Commission, June 2025, available at: 
8b16b77c-3a92-40eb-b540-eaef8bf16e13_en. 
41  See  Economic  impact  of  the  Recovery  and  Resilience  Facility:  the  case  of  Sweden.  European  Commission,  July  2025,  available  at: 
53107f05-140f-42bc-9308-421387e4f2d2_en.  

35 

 
 
CSR  assessment  published  as  part  of  the  2025  European  Semester  Spring  package 
demonstrates a steady increase in the implementation of the CSRs adopted in 2019, which 
were  of  a  structural  nature,  and  in  2020,  which  were  more  crisis-oriented.  Progress  on 
implementing CSRs has been faster under the RRF compared to the time before the Facility 
(see Figure 10). By June 2025, the share of CSRs adopted in 2019-2020 and recording at 
least some progress reached 79%. By comparison, in the pre-RRF period, only 62% of the 
2015-2016 CSRs had recorded at least some progress in 2021 (i.e. after the same amount 
of  time  for  implementation).  This  shows  that  the  incentives  provided  by  the  RRF,  with  its 
performance-based  approach  and  emphasis  on  reforms,  contributed  to  reinforcing  the 
implementation of CSRs. 

Figure 10: Share of CSR subparts recording at least “some progress” in implementation 

Before RRF  
(progress on 2015-2016 CSRs) 

During RRF  
(progress on 2019-2020 CSRs) 

Source: European Commission 

Member  States  have  made  progress  in  particular  on  CSRs  related  to  growth-
enhancing  structural  reforms,  with  the  RRF  leading  to  an  increase  in  CSR 
implementation  across  almost  all  policy  areas.  Looking  at  the  2019-2020  CSRs, 
Member  States  have  made  the  most  progress  on  CSRs  related  to  access  to  finance,  the 
business environment and the labour market, which are key growth-enhancing reforms that 
stimulate  investment,  job  creation  and  productivity.  The  average  2019-2020  CSRs 
implementation rate  during the RRF lifetime  increased compared to  the  2015-2016 CSRs 
implementation rate before the RRF in all policy domains except housing. In particular, the 
rate increased in the following policy domains (see Figure 11): financial services and anti-
money laundering (+30 percentage points); business environment, single market and public 
procurement  (+29  percentage  points);  the  labour  market  (+22 percentage  points)  and  tax 
administration, tax evasion and tax avoidance (+22 percentage points). CSRs related to green 
and digital  policies, which are  key pillars of the RRPs,  have also  recorded a good level of 
progress. 94% of 2019-2020 CSRs related to digital42 policies and 77% of 2019-2020 CSRs 

42 “Digital” policy areas refer to recommendations in the areas of digital connectivity, infrastructure & market functioning, digitalisation of 
businesses and digitalisation of public administration and public services. 

36 

                                          ssessmen  year      ssessmen  year      ssessmen  year      ssessmen  year     Progress a er    o   years ofimplemen a ionProgress a er    o   years ofimplemen a ion 
 
 
related to green policies43 have recorded at least some progress. Progress has been slower 
in other areas, in particular on CSRs related to housing, public administration and quality of 
law making and corruption.  

Figure 11: Implementation of CSRs under the RRF and before the RRF, by policy domain 

Note: The chart shows the average assessment score for the recommendations in a given policy domain on a scale from 0: No 
progress to 100: Full implementation. For the RRF period, the chart shows the level of implementation of 2019 and 2020 CSRs 
as assessed in 2025. For the pre-RRF period, the chart shows the level of implementation of 2015 and 2016 CSRs as assessed 
in 2021 (i.e. after the same length of time of implementation). Only policy domains with a minimum of 5 recommendations are 
shown. For the policy area "Digitalisation", there were no related CSRs in 2015 and 2016.  
Source: European Commission 

Examples of relevant reforms in the RRPs leading to structural 

improvements in Member States’ economies and societies. 

-  France  has  introduced  reforms  to  reorganise  its  support  for  jobseekers.  The 
changes improve trainings and provide more support especially for vulnerable groups. 
At  the  same  time,  the  reform  of  the  unemployment  insurance  is  increasing  the 
incentives  to  return  to  stable  employment  and  to  limit  the  overuse  of  short-term 
contracts  by  introducing  a  bonus  malus  system  for  employers  to  discourage  the 
excessive use of short-term contracts. 

-  Legislation has entered into force in Italy to encourage tax compliance and improve 
the  effectiveness  of  audits  and  controls.  One  reform  improved  the  quality  of  the 
databases used to produce compliance letters (i.e. notices through which the Italian 
tax  authorities  report  discrepancies).  As  a  result,  the  tax  revenue  generated  by 
compliance letters has increased by 30% compared to 2019. 

43 “ reen” policy areas refer to recommendations in the areas of renewable energy, energy infrastructure & networks, energy efficiency, 
environmental policy & resource management, transport and climate adaptation. 

37 

          ccess  o  nance inancial services and an i moneylaundering usiness environmen   single mar e  andpu lic procuremen  a our mar e Ta  adminis ra ion   a  evasion    a avoidance igi alisa ion nsolvency framewor s and priva einde  ednessResearch   innova ion udge ary framewor  and  scalgovernancePover y  social inclusion   socialpro ec ionEduca ion and s ills eal hcare and long  erm care  a e owned en erprisesTa  policyEnergy  resources  clima e change and ranspor  us ice sys em ong  erm sus aina ili y of pu lic nances  inc. PensionsCorrup ionPu lic adminis ra ion and  uali y of lawma ing ousing verage progress under RR   a er     years of implemen a ion  verage progress pre RR   C R         a er     years of implemen a ion  
 
-  Croatia has introduced several legislative reforms and procedural changes to shorten 
and  reduce  the  backlog  of  court  proceedings,  thereby  enhancing  administrative 
efficiency in the justice system. Several legislative amendments have been adopted to 
enhance  the  efficiency  in  proceedings  related  to  bankruptcy,  consumer  insolvency, 
administrative  disputes,  and  voluntary  mediation.  The  number  of  pending  court 
proceedings is expected to decrease by at least 35% by the end of the RRF. 

-  Slovakia  has  introduced  reforms  to  improve  fiscal  sustainability  in the  medium 
and  long  term.  These  include  improving  the  long-term  fiscal  sustainability  of  the 
pension  system  through  changes  to  the  first  pay-as-you-go  pension  pillar  and 
improving  the  functioning  of  the  second  pension  pillar,  as  well  as  enhancing  fiscal 
discipline trough binding multiannual expenditure ceilings. 

-  Spain adopted a reform on streamlining and simplifying permitting procedures 
for  renewable  energy  and  electricity  infrastructure.  The  legislation  reduces 
administrative burden, sets clear deadlines, removes restrictions on self-consumption 
and improves network capacity allocation.  

-  Estonia  has  introduced  reforms  with  the  objective  to  ensure  access  to  medical 
care, by establishing a reimbursement system for nurses to incentivise them to work 
in  remote  areas,  as  well  as  by  increasing  the  share  of  people  admitted  in  nursing 
training. 

- 

Ireland has implemented a reform that enables policymakers to better assess and 
limit regulatory burdens on SMEs, promoting a more supportive environment for 
their growth.  

D. Common indicators 

RRF investments and reforms produce concrete results on the ground 

The common indicators show progress in the implementation of the RRPs towards 
the  achievement  of  the  general  and  specific  objectives  and  the  overall 
performance of the RRF. Member States report data on the common indicators twice per 
year, covering 14 indicators44. These indicators demonstrate tangible outputs resulting from 

44  Art.  29  of  the  RRF  Regulation  requires  Member  States  to  report  to  the  Commission  on  the  common  indicators  and  empowers  the 
Commission to specify the common indicators to be used for this reporting. The Commission Delegated Regulation 2021/2106 defines the 
14 indicators in question. There are two types of indicators. Output indicators measure the specific deliverables of an RRF-supported activity 
or project (e.g. additional operational capacity installed for renewables). Result indicators capture a change in the situation and its effects 
to  the  beneficiaries  (e.g.  people  benefiting  from  new  public  digital  services,  or  trainings).  Out  of  the  14  common  indicators,  4  are 
disaggregated by gender. Member States report bi-annually on these common indicators by 28 February (covering the reporting period of 
July  and  December  of  the  previous  year)  and  by  31  August  (covering  the  reporting  period of  January to  June  of  the  same  year).  The 
Commission publishes the common indicators data on the  Recovery and Resilience Scoreboard, after performing data checks to ensure 
plausibility and comparability of the data. In line with the requirements of the Commission Delegated Regulation, where data are published 
at the level of each Member State, these are presented in relative terms. However, The Commission has no legal basis to audit or verify 
the quality of the data submitted by Member States nor to alter or refuse specific reporting by Member States. The Commissions checks 
are limited to overall plausibility and comparability of the data. Moreover, as analysed in detail in the mid-term evaluation, methodological 
caveats apply to the common indicators. While their purpose is to report on the overall performance and progress of the RRF towards its 
objectives, they do not comprehensively cover all investments included in the RRPs and do not fully capture the contribution  of reforms, 
which is difficult to measure using quantitative indicators. The collection methodology of the common indicators’ underlying data makes it 

38 

 
 
 
RRF measures’ implementation on the ground, and, along with the bi-annual reporting on the 
status  of  milestones  and  targets,  they  contribute  to  tracking  the  overall  progress  of  the 
Facility. So far, seven reporting rounds have been completed and published on the Recovery 
and  Resilience  Scoreboard45,  covering  the  period  from  February 2020  to  December 2024. 
Figure 12 depicts the current status of the common indicators, showcasing concrete outputs 
and results stemming from the implementation of RRF measures.  

Figure 12: State of play on the common indicators based on the latest reporting round by 31 
December 2024 

Source: Recovery and Resilience Scoreboard 

As of December 2024, the number of new or upgraded refuelling and recharging 
points for clean vehicles installed reached 915 995 (common indicator 3, see Figure 
13). This figure is driven by investments and reforms supporting charging stations for electric 
vehicles in the German, Italian, Finnish and Belgian plans, among others. The RRF’s impact 
on  the  green  transition  can  also  be  demonstrated  by  the  33.4 million MWh  in  savings  of 
annual energy consumption (common indicator 1) equivalent to the annual consumption of 
20.9 million Europeans46 and 110 655 MW of additional renewable energy capacity installed 
(common indicator 2) equivalent to the entire installed electrical capacity of Italy47. 

at  times  impossible  to  disentangle  their  specific  origin  and  contribution to  RRF  objectives,  particularly  as there  is no comparison  point 
(counterfactual in the absence of the RFF). Furthermore, the common indicators do not include final target values, which limits their use in 
the context of an evaluation and in determining RRF effectiveness. This point has been echoed by feedback received from Member States. 
45 See https://ec.europa.eu/economy_finance/recovery-and-resilience-scoreboard/common_indicators.html.  
46 Electricity consumption per capita in the household sector in the EU in 2022 was 1.6 MWh per capita (1 584 kWh) according to Eurostat. 
47 Total electrical production capacity in Italy in 2023 was 104 098 MW according to Eurostat. 

39 

 
 
 
Figure 13: Evolution of alternative fuels infrastructure (refuelling/recharging points), in number 
of refuelling/recharging points 

Source: Recovery and Resilience Scoreboard 

The  number  of  citizens  benefiting  from  protection  measures  against  floods, 
wildfires and other climate-related natural disasters reached 31 million by the end 
of 2024 (common indicator 4). From July to December 2024 (seventh reporting round), 
RRF  measures  contributed  to  increasing  the  number  of  people  better  protected  against 
climate-related disasters by an additional 6 million (see Figure 14). Examples of measures 
contributing to this common indicator can be found in the Greek and Polish RRPs. In Greece, 
the  “National  Reforestation  Plan,  restoration  and  prevention  (“antiNERO”),  antierosion  and 
flood  protection  measures”  and  the  "Hellenic  Electricity  Distribution  Network  Operator 
(HEDNO)  overhead  network  upgrading  in  forest  areas"  measures  benefited  more  than 
1 million people, while measures targeting the green transition of cities and the improvement 
of  sustainable  water  management  in  rural  areas  in  the  Polish  RRP  benefited  more  than 
3 million people.  

Figure 14: Evolution of population benefiting from protection measures against floods, wildfires, 
and other climate related natural disasters, in number of people. 

Source: Recovery and Resilience Scoreboard 

40 

                                un il  emes er       emes er       emes er       emes er       emes er       emes er       emes er      Thousands              un il  emes er       emes er       emes er       emes er       emes er       emes er       emes er      Millions 
 
 
Overall,  the  common  indicators  show  growing  concrete  support  to  enterprises, 
innovation,  digitalisation  and  education.  The number  of enterprises supported by the 
Facility continues to grow and reached 4.5 million by end-2024 (common indicator 9). Spain 
and Belgium drove the increase between July and December 2024 with more than a total 
300 000 enterprises supported, for the most part micro and small-sized. Common indicator 
8 “Researchers working in supported research facilities” reached more than 160 000 units, 
showing the strong support provided by the RRF towards research and innovation. The Italian 
and  German  reporting  on  this  common  indicator  in  the  seventh  reporting  round  (July-
December  2024)  show  that  more  than  50 000  researchers  benefited  from  the  Facility’s 
support in that time period. Classroom capacity of new or modernised childcare or education 
facilities  (common  indicator  13)  increased  to  more  than  2.6 million  by  end-2024,  with  an 
increase of more than 770 000 in the last six months of reporting (July-December 2024). 
The biggest growth was recorded in Greece (measure “Digital transformation of education”), 
and  in  Romania  (measures  “Ensuring  digital  technology  equipment  and  resources  for 
schools”,  “Provision  of  facilities  for  pre-university  classrooms  and  school  science 
laboratories/school  cabinets”,  “Equipping  of  IT  laboratories  in  vocational  education  and 
training (VET) schools”, “Equipping of practice workshops in VET schools”) (see Figure 15). 

Figure  15:  Overview  of  selected  common  indicators  –  overall  increases  across  two  reporting 
rounds in 2025 

Note: The figure above shows the reported changes in the total figures up to the first semester of 2024 and up to the end of 
2024. The common indicators shown are common indicator 08 (Researchers working in supported research facilities), common 
indicator  09  (Enterprises  supported  (of  which:  small  –  including  micro,  medium,  large),  and  common  indicator  13  (Classroom 
capacity of new or modernised childcare and education facilities).  
Source: Recovery and Resilience Scoreboard 

41 

 50100150200Semester 1 202 Semester 2 202 Thousands of researchersCommon Indicator 08Italy and  ermanyAll other Member States 235Semester 1 202 Semester 2 202 Millions of enterprisesCommon Indicator 09Spain and BelgiumAll other Member States 123Semester 1 202 Semester 2 202 Millions of personsCommon Indicator 13 reece and RomaniaAll other Member States 
 
 
 
E. Bi-annual reporting data  

The implementation of milestones and targets continues to progress steadily 

Most  milestones  and  targets  indicatively  due  by  Q1 2025  have  either  been 
assessed  as  fulfilled  by  the  Commission  or  reported  as  completed  by  Member 
States48. As of 30 April 2025,  out of the 4 358 milestones and targets that were due by 
Q1 2025, 49.5% (2 157) had been assessed as satisfactorily fulfilled by the Commission in 
the context of a payment request, while an additional 33.7% (1 471) had been reported as 
completed  by  Member  States  (see  Figure  16).  Overall,  this  accounts  for  83%  of  the 
milestones  and  targets  planned  by  that  date.  The  remaining  730  (17%)  milestones  and 
targets were reported as not completed by their indicative target date (see Figure 16). 

Member  States  expect  most  milestones  and  targets  due  by  Q1 2026  to  be 
implemented on time. As of 30 April 2025, 1 170 milestones and targets (78%) with a due 
date  between  Q2 2025  and  Q1 2026  were  reported  as  on  track  and  93  (6%)  as  already 
completed (see Figure 17). 15% of milestones and targets due by Q1 2026 were reported as 
delayed (see Figure 17). 

Figure 16: Progress of milestones and targets due 
in the past, from Q1 2020 to Q1 2025 

Figure 17: Progress of milestones and targets 
due in future, from Q2 2025 to Q1 2026 

Source: European Commission 

The completion rate of milestones and targets with an indicative completion date 
up to Q1 2026 is around or above 60% across all six policy pillars of the Facility 
(see  Figure  18).  The completion rate  (i.e. milestones and targets fulfilled or reported as 
completed by Member States as a share of the total number of milestones and targets in 

48 According to the figures of the spring 2025 bi-annual reporting round. In line with Article 27 of the RRF Regulation, Member States must 
report twice a year in the context of the European Semester on the progress made in the implementation of their RRPs. The Commission 
Delegated Regulation (EU) 2021/2106 further specifies this obligation, setting the deadlines for the bi-annual reporting at no later than by 
30 April and 15 October. Member States report their progress in achieving their milestones and targets due in the past and due twelve 
months  into  the  future.  Whilst  the  data  is  self-reported  by  the  Member  States  and  not  verified  by  the  Commission,  it  provides  a 
comprehensive stocktaking on the implementation of all plans and enables the monitoring of progress in implementing the RRPs. Milestones 
and  targets  which  have  already  been  assessed  as  satisfactorily  fulfilled  by  the  Commission  in  the  context  of  a  payment  request  are 
classified as ‘fulfilled’. The progress status of each backward-looking milestone and target (i.e. those planned to be achieved up to the 
quarter before the reporting date) can be classified as either ‘completed’ or ‘not completed’. The status of forward-looking milestones and 
targets (i.e. those planned to be achieved in the quarter of the reporting date and the three following quarters) milestones and targets can 
be classified as ‘completed’, ‘on track’, or ‘delayed’. 

42 

     4    0                     ul lledComple edNo comple edNum er of miles ones    arge s     0               Comple ed n  rac  elayedNum er of miles ones    arge s 
 
 
 
that pillar) is highest for the pillars “smart, sustainable and inclusive growth” and “health, and 
economic, social  and  institutional  resilience”  (well  above   5 ).  The  “green  transition”  and 
“social  and  territorial  cohesion”  pillars,  covering  a  comparable  number  of  milestones  and 
targets,  follow  with  around  60%  fulfilled  or  completed  milestones  and  targets  each.  The 
pillars “digital transformation” and “policies for the next generation”, which cover a smaller 
number of milestones and targets, also have a completion rate of around 60%. 
Figure  18:  Milestones  and  targets  contributing  to  the  six  RRF  Regulation  pillars  and  their 
respective status up to Q1 2026 

Source: European Commission 

F. Progress across the six policy pillars 

Member States have made visible implementation progress across all six RRF policy 
pillars 

Green transition  

The RRF is contributing to achieving the EU’s targets to reduce net greenhouse gas 
emissions by at least 55% by 2030 and to reach climate neutrality by 2050. The 
measures  under  the  RRF  are  supporting  the  EU’s  climate  ambitions  by  increasing  energy 
efficiency,  promoting  sustainable  mobility  and  a  higher  deployment  of  renewable  energy 
sources. They will also ensure progress towards climate adaptation and other environmental 
objectives such as reducing air pollution, promoting the circular economy or restoring and 
protecting  biodiversity.  Following  the  adoption  of  the  REPowerEU  chapters,  a  total  of 
EUR 339.7 billion49 – over 50% of Member States’ total allocation – has been dedicated to 
measures contributing to the green transition pillar. 

49 This figure shows cost estimates based on the pillar tagging methodology for the Recovery and Resilience Scoreboard and corresponds 
to the measures allocated to the green transition pillar as primary and/or secondary policy pillar. 

43 

                   reen  ransi ion igi al  ransforma ion mar   sus aina le and inclusive grow h ocial and  erri orial cohesion eal h  and economic  social and ins i u ional resiliencePolicies for  he ne   genera ion ul lledComple ed  no  assessed  n  rac  elayedNo  comple ed 
 
Overview: The RRF’s support for the green transition  

Figure 19: Contribution to the green transition, per policy area 

Note: The figure shows the contribution of measures under the green transition pillar included under the RRF and presents 
associated ex ante estimated costs in EUR billion of measures linked to this pillar. Percentage values indicate the share of a 
specific policy area wi hin  he green  ransi ion pillar. ”  her“ includes circular economy, climate change adaptation, biodiversity 
and ecosystems, pollution prevention and control, green skills and jobs, and other climate change mitigation. 
Source: European Commission 

The RRF plays a central role in promoting climate action and environmental sustainability. 
It is aligned with the European  reen Deal as Europe’s strategy for sustainable growth 
and the goal of achieving climate neutrality by 2050, and intrinsically linked with the new 
competitiveness agenda of the Commission. The RRF supports a wide range of priorities 
crucial for the EU’s green transition, with the three largest areas being: 

1. 

Energy efficiency – EUR 91 billion50 

Buildings are the largest source of energy consumption in the EU with around 75% of the 
stock still having poor energy performance. Large-scale renovations and high-efficiency 
new constructions are needed to meet EU climate goals and reduce energy bills. To address 
this,  Member  States  are  investing  in  energy  renovations  and  highly  efficient  buildings, 
including  of  the  public  building  stock,  while  introducing  reforms  to  remove  regulatory 
barriers and spur energy efficiency renovations. Beyond buildings, the RRF also provides 
crucial support to energy efficiency in large enterprises and SMEs, thus contributing to the 
decarbonisation of our industries. To that end, Member States are, for instance, investing 
in  the  optimisation  and  electrification  of  processes,  or  the  adoption  of  monitoring  and 
consumption management systems. 

50 This refers to the ex ante estimated cost of all measures linked to this intervention field under the RRF. 

44 

      illionEnergy E ciency         illion us aina leMo ili y         illionRenewa le Energy nd Ne wor s         illion  her         illion reen R            illion us aina le a er   
 
 
2. 

Sustainable mobility – EUR 87 billion 

The transport sector produces a quarter of the EU’s greenhouse gas emissions, making its 
decarbonisation vital for meeting climate goals and reducing reliance on imported fossil 
fuels. The RRF supports Member States through investing in zero or low emission vehicles, 
clean public transport, recharging and railway infrastructure, alongside reforms to taxation 
and regulation to support zero emission mobility. 

3. 

Renewable energy and networks – EUR 67 billion 

Meeting  the  EU’s  climate  and  energy  ambitions  requires  continuous,  large-scale 
investment  to  speed  up  the  rollout  of  renewable  energy  and  supporting  infrastructure. 
Through the RRF, support is directed towards both established and innovative renewable 
technologies,  alongside  efforts  to  streamline  regulations  and  permitting  procedures, 
strengthen public-private cooperation, support electricity networks and interconnections, 
and uphold supportive schemes. 

Progress in implementing measures related to the green transition has been good 
overall, with nearly 50% of green milestones and targets assessed as satisfactorily fulfilled 
or  reported  as  completed  by  the  Member  States.  Specifically,  1 505  out  of  the  3 119 
milestones and targets related to the green transition are already  assessed as fulfilled by 
the Commission or reported as completed by Member States (see Figure 20), which yields a 
progress rate of approximately 48% (including 32% assessed in payment requests).  

Figure 20: Percentage of all milestones and targets contributing to the green transition that have 
been assessed as fulfilled or reported as completed, per Member State 

Source: European Commission 

45 

                             Percen age of miles ones and  arge s ul lledComple ed  self repor ed  
During  the  reporting  period,  the  assessment  of  milestones  and  targets 
underpinning the  green transition advanced markedly (see Figure 21). In the past 
year alone, 379 milestones and targets were assessed as fulfilled, in addition to the 612 
milestones and targets that  had  previously been  assessed  as fulfilled. The newly  fulfilled 
milestones and targets remain concentrated in sustainable mobility and energy efficiency. 
Progress accelerated in particular for renewable energy and networks with more milestones 
and targets assessed as fulfilled in the past year (83) than in the period prior to 1 September 
2024 (61). 

Figure  21:  Number  of  milestones  and  targets  assessed  as  fulfilled 
in  the  period 
1 September 2024  until  31  August  2025,  and  in  the  pre-reporting  period  (contributing  to  the 
green transition)  

Note: In the reporting period, twenty milestones and targets contribute to both a primary and secondary policy area of the green 
transition pillar. For the pre-reporting period, this is true for 28 milestones and targets. 
Source: European Commission 

Member States are moving forward on sustainable mobility, renewable energy and 
grids, energy efficiency, and climate change adaptation, with broad progress and 
some  countries  leading  the  way.  For  sustainable  mobility,  Italy,  Belgium  and  Spain 
recorded  the  largest  number  of  fulfilled  actions,  with  progress  on  sustainable  mobility 
spreading  across  20  plans  in  total.  Scaling  up  renewable  energy  capacity  and  reinforcing 
networks was mainly driven by policy action in Portugal, Italy and Czechia. Improvements in 
energy  efficiency  were  broadly  distributed  among  19  Member  States,  showing  the 
widespread  effort  to  reduce  energy  consumption  through  renovations  and  other  energy 
efficiency schemes. In the field of adaptation to climate change, the strongest momentum 
came  from  Greece,  Portugal  and  Spain,  which  also  advanced  on  measures  linked  to  the 
protection of water resources, biodiversity  and ecosystems (see  Figure 22). The examples 
provided  in the box below  highlight key measures with completed milestones and targets 
during the reporting period. 

46 

               Clima eChange dap a ionEnergyE ciency reen   illsand  o s  herClima eChangeMi iga ionPollu ionPreven ion nd Con rolR      n reen c ivi iesRenewa leEnergy  ndNe wor s us aina leMo ili y a er andMarineResources iodiversi yandEcosys emsCircularEconomyNum er of miles ones and  arge sPrimary pillar   efore repor ing period  econdary pillar   efore repor ing period Primary pillar  during repor ing period  econdary pillar  during repor ing period  
Figure 22: Fulfilled number of milestones and targets  by Member States in the area of green 
transition from 1 September 2024 to 31 August 2025  

Source: European Commission 

Examples of relevant measures with fulfilled milestones and targets in the 

reporting period under the green transition pillar 

Reforms: 

-  Poland amended existing regulation (Renewable Energy Sources Act and the Energy 
Act)  to  facilitate  the  establishment  and  operation  of  citizen  energy  communities, 
cooperatives  and  energy  clusters.  These  reforms  helped  Poland  achieve  23  GW  of 
onshore  wind  and  photovoltaic  capacity,  reflecting  important  progress  in  the 
deployment of renewable energy.  

-  Romania adopted a national circular economy strategy. It sets rules for the entire life 
cycle of products and the transformation of the Romanian economy towards a circular 
economy.  

-  The  Netherlands  adopted  an  energy  taxation  reform  adjusting  electricity  and  gas 
tariffs  to  incentivise  businesses  and  households  to  limit  their  energy  consumption, 
switch to more climate-friendly sources of energy and reduce CO2 emissions.  

-  Portugal  has  introduced  harmonised  and  mandatory  criteria  that  better  align 
producer fees with the environmental impact of their products and the actual waste 
management costs. This is promoting the circular economy and more efficient waste 
management  by  creating  financial  incentives  for  more  durable,  repairable,  and 
recyclable product design. 

47 

                  us aina le Mo ili yEnergy E ciencyRenewa le Energy  nd Ne wor sCircular Economy   as e  nd Recycling  her Clima e Change Mi iga ionR      n  reen  c ivi iesClima e Change  dap a ionPollu ion Preven ion  nd Con rolPro ec ion  f  a er  nd Marine ResourcesPro ec ion of  iodiversi y  nd Ecosys ems reen   ills  nd  o s 
 
Investments: 

-  Cyprus installed photovoltaic systems in 405 schools and on the largest state hospital, 
together  with  thermal  insulation  to  facilitate  the  energy  upgrading  and  increased 
energy efficiency of public buildings. 

-  Greece invested in the electricity network which will support the shift to renewable 
energy.  The  investment  increases  the  capacity  of  key  substations  to  accommodate 
more  renewable  energy,  easing  grid  congestion  and  enabling  further  investment  in 
clean energy. These initiatives contribute to a more sustainable and resilient energy 
system. 

-  Spain restored  over 100  kilometres of coastline across the country to  increase the 
resilience of the coast to the adverse effects of climate change and  to protect and 
restore maritime eco-systems. 

Digital transformation  

The RRF provides a significant contribution to the digital transformation in the EU. 
Recovery and resilience plans cover a range of measures, including the deployment of next 
generation digital infrastructures and advanced technologies, digital skills development for 
the population and the workforce, and support to the digitalisation of enterprises as well as 
of public services. A total of EUR 166.1 billion51 will contribute to the digital transformation 
pillar. 

Member States have made significant progress in implementing measures related 
to  the  digital  transformation,  and  around  half  of  related  milestones  and  targets  are 
assessed  as  fulfilled  or  reported  as  completed.  Specifically,  1 208  out  of  the  2 427 
milestones and targets related to the digital transformation are assessed as fulfilled by the 
Commission  or  reported  as  completed  by  Member  States  (see  Figure  24),  which  yields  a 
progress rate of 50% (including 34% assessed in payment requests). 336 of these milestones 
and targets contributing to the digital transformation were assessed by the Commission as 
fulfilled between 1 September 2024 and 31 August 2025. The examples provided in the box 
below highlight key measures with completed milestones and targets during the reporting 
period. 

51 This figure shows cost estimates based on the pillar tagging methodology for the Recovery and Resilience Scoreboard and corresponds 
to the measures allocated to the digital transformation pillar as primary and/or secondary policy pillar. 

48 

 
 
Overview: The RRF’s support to the digital transformation  

Figure 23: Contribution to the digital transformation, per policy area 

Note:  The  figure  shows  the  contribution  of  measures  under  the  digital  transformation  pillar  included  under  the  RRF  and 
presents associated ex ante estimated costs in EUR billion of measures linked to this pillar. Percentage values indicate the 
share of a specific policy area within the digital transformation pillar. 

Source: European Commission  

Reforms  and  investments  in  digital  technologies,  infrastructures  and  processes  are 
essential for increasing the EU’s competitiveness, resilience and innovation potential. They 
are  also  instrumental  in  reducing  the  EU’s  external  dependencies  and  building 
technological sovereignty in key areas. The RRF supports a wide range of priorities crucial 
to the EU’s digital transformation. These include: 

1.  Digital public services – EUR 56 billion 

Digital technologies are creating new demands on the public sector, making effective e-
digital government a key challenge, with the potential to boost efficiency and generate 
savings  for  governments,  citizens,  and  businesses.  Many  RRPs  prioritise  measures  to 
digitalise public services and modernise the public administration. 

2.  Human capital – EUR 28 billion 

Digital  skills  are  crucial  for  individuals  and  businesses  to  benefit  from  the  digital 
transformation, yet about 44% of Europeans lack basic skills well below the 80% target 
fixed by the Digital Decade policy programme52. In parallel, the EU has only 10 million ICT 
specialists in employment and enterprises struggle to find information and communication 
technology talent53. The RRF addresses these gaps through strategies and actions to boost 
digital skills across the population, workforce, and education, with  targeted support for 
vulnerable groups. 

49 

      illionConnec ivi y        illionR     andadvanced echnologies         illion uman capi al         illion igi al pu licservices         illion igi alisa ionof  usinesses    
 
3.  Connectivity – EUR 13 billion 

The  availability  of  high-quality,  reliable  and  secure  connectivity  is  essential  for  the  EU 
competitiveness,  security  and  social  inclusion.  Through  the  RRF,  Member  States  are 
expanding  fixed  and  5G  broadband,  removing  administrative  barriers,  accelerating 
spectrum assignment, and investing in high-capacity networks. 

Figure 24: Percentage of all milestones and targets contributing to the digital transformation that 
have been assessed as fulfilled or reported as completed, per Member State 

Source: European Commission 

Examples of relevant measures with fulfilled milestones and targets in the 

reporting period under the digital transformation pillar 

Reforms: 

-  Estonia increased the resilience, security and reliability of the IT systems and services 
of  the  Estonian  public  authorities  by  having  completed  the  migration  to  a  cloud 
infrastructure. 

-  Belgium successfully auctioned radio spectrum bands and adapted regional radiation 
standards in accordance with advice from expert and citizen panels to unblock the roll-
out of 5G networks.  

-  Germany digitalised a total of 215 administrative services at regional (Länder) and 
federal level in line with the Online Access Act, thereby reducing administrative burden 
for citizens. 

52 See RRF Thematic Analysis ‘Digital Skills and education’ (June 2024), European Commission, available at: thematic analysis digital skills. 
53  See  State  of  the  Digital  Decade  report  2025  Annex  1  -  State  of  EU  digital  transformation  in  2025:  progress  and  horizontal 
recommendations, European Commission, available at: State of the Digital Decade 2025 report | Shaping Europe’s digital future.  

50 

                             Percen age of miles ones and  arge s ul lledComple ed  self repor ed  
 
Investments: 

-  Austria  supported  over  7 000  companies  in  carrying  out  their  digital  investments, 
including in hardware, software, digital infrastructure and e-commerce, thus increasing 
the companies’ competitiveness and opportunities to participate in the Single Market. 

-  Croatia digitised and integrated nine operating halls and robotic system at Clinical 
hospital  centre  Split.  The  measure  enhances  cancer  treatment  with  cutting-edge 
improves  patient  safety, 
equipment  and 
transparency, and cost control while modernising healthcare delivery. 

integrated,  paperless  workflows. 

It 

- 

In Latvia, 35 792 computers were purchased for schools to allow pupils from socially 
vulnerable groups to participate in remote learning activities.  

-  Denmark supported over 550 SMEs by providing grants to fund digital projects such 
as  automation,  e-commerce  development,  and  IT  investments,  helping  them 
modernise their operations and boost competitiveness.  

Smart, sustainable and inclusive growth  

The 27 RRPs contribute to the “smart, inclusive and sustainable growth” pillar with 
more than 1 800 measures for over EUR 336 billion54. These measures cover diverse 
areas:  from  reforms  to  support  the  business  environment  (i.e.  simplifying  regulatory 
frameworks, cutting red tape, and modernising public administration) or competitiveness (i.e. 
improving  competition,  public  procurement  and  trade),  to  support  to  SMEs,  research  and 
development and innovation, and to the cultural sector. 

There has been significant progress in implementing measures related to  smart, 
sustainable and inclusive growth, with over 55% milestones and targets contributing to 
this  RRF  pillar  assessed  as  satisfactorily  fulfilled  or  reported  as  completed  by  the 
Member States.  Specifically,  1 831  out  of  the  3 271  relevant  milestones  and  targets  are 
assessed as fulfilled by the Commission or reported as completed by Member States (see 
Figure  25),  which  yields  a  progress  rate  of  56%  (including  38%  assessed  in  payment 
requests). 469 of these milestones and targets were assessed by the Commission as fulfilled 
between 1 September 2024 and 31 August 2025.  

The  RRF  provides  substantial  support  to  businesses  through  direct  funding  and 
financial instruments. By the second half of 2024, over 4.5 million enterprises – primarily 
SMEs – received RRF support. Initiatives include digitalisation incentives, R&D funding, and 
investment in sustainable technologies. The examples provided in the box below highlight key 
measures with completed milestones and targets during the reporting period. 

54 This figure shows cost estimates based on the pillar tagging methodology for the Recovery and Resilience Scoreboard and corresponds 
to the measures allocated to the smart, sustainable and inclusive growth pillar as primary and/or secondary policy pillar. 

51 

 
 
Figure  25:  Percentage  of  all  milestones  and  targets  contributing  to  smart,  sustainable  and 
inclusive  growth  that  have  been  assessed  as  fulfilled  or  reported  as  completed,  per  Member 
State 

Source: European Commission 

Examples of relevant measures with fulfilled milestones and targets in the 

reporting period under the smart, sustainable and inclusive growth pillar 

Reforms: 

- 

Italy adopted legislation and changed administrative rules to reduce the civil justice 
backlog by strengthening trial offices, introducing incentives to attract and retain staff, 
and supporting underperforming courts while rewarding those that meet annual case 
reduction targets, thereby contributing to improve Italy’s business environment. 

-  Cyprus  introduced  a  new  framework  to  facilitate  strategic  investments  through 
streamlined  rules and mechanisms, simplifying the licensing and permit procedures 
and reducing the administrative burden.  

-  Slovenia  established  a  Public  Procurement  Academy  within  the  Administrative 
Academy,  managed  by  the  Ministry  of  Public  Administration.  It  offers  training 
programmes to enhance the competencies and skills of public employees involved in 
procurement.  

-  Lithuania revised the rules of R&D support measures for businesses to reduce gaps 
and overlaps between the different measures, thereby creating a more coherent and 
streamlined innovation support framework. 

52 

                             Percen age of miles ones and  arge s ul lledComple ed  self repor ed  
Investments: 

- 

Italy  granted  147 557 tax  credits  to  businesses  to  support  innovation  and 
digitalisation, through investments in tangible and intangible capital goods, standard 
intangible assets, R&D, innovation, and training activities (Transition 4.0).  

-  Slovakia  supported  more  than  650  researchers  across  different  fields  of  research 
through fellowships and grants and launched financial instruments that will support 
innovative businesses in their seed and growth phases. 

-  Spain  set  up  the  Co-Investment  Fund,  a  large  financial  instrument  aiming  to 
incentivise investment and improve access to finance in strategic sectors, particularly 
those tied to the green and digital transitions. 

Social and territorial cohesion  

Member  States  have  included  many  measures  to  support  social  and  territorial 
cohesion,  contributing  to  the  implementation  of  the  European  Pillar  of  Social 
Rights.  Many  RRPs  include  dedicated  chapters  on  equal  opportunities  and  labour  market 
access,  fair  working  conditions,  and  social  protection  and  inclusion.  All  RRPs  also  support 
reforms and investments aimed at improving different types of infrastructure and services 
(such as transport, environment, energy and public administration) at the local, regional and 
other  territorial  levels.  More  precisely,  the  27  RRPs  will  support  the  social  and  territorial 
cohesion pillar with around EUR 258.3 billion55.  

RRPs  cover  social  and  territorial  cohesion  to  varying  degrees,  with  good  overall 
progress  in  the  implementation  of  relevant  measures.  1 421  out  of  the  2 795 
milestones and targets contributing to social and territorial cohesion are already assessed as 
fulfilled  by  the  Commission  or  reported  as  completed  by  Member  States  (see  Figure  26), 
representing  a  51%  progress  rate  (including  34%  assessed  in  payment  requests).  441  of 
2 795 milestones and targets are  related to territorial  infrastructure  and services.  365  of 
these  milestones  and  targets  were  assessed  by  the  Commission  as  fulfilled  between 
1 September 2024 and 31 August 2025. The examples provided in the box below highlight 
key measures with completed milestones and targets during the reporting period. 

55 This figure shows cost estimates based on the pillar tagging methodology for the Recovery and Resilience Scoreboard and corresponds 
to the measures allocated to the social and territorial cohesion pillar as primary and/or secondary policy pillar. 

53 

 
 
Figure 26: Percentage of all milestones and targets contributing to social and territorial cohesion 
that have been assessed as fulfilled or reported as completed, per Member State 

Source: European Commission 

Examples of relevant measures with fulfilled milestones and targets 

during the reporting period under the social and territorial cohesion pillar 

Reforms: 

-  Austria  implemented  a  reform  of  its  pension  system  to  incentivise  people  to  work 
beyond  their  statutory  retirement  age  and  to  tighten  the  conditions  for  early 
retirement. This reform is expected to reduce old age poverty, especially for women, 
and to contribute to fiscal sustainability and to alleviate labour shortages.  

-  Bulgaria implemented legislative changes to enhance the direct involvement of the 
regional and local level in the management of EU funds by strengthening their role in 
the design and implementation of integrated territorial strategies and projects. This is 
expected  to  boost  the  sense  of  ownership  at  local  level  and  to  increase  policy 
effectiveness by addressing locally identified needs in a more targeted way. 

-  Latvia improved its territorial cohesion by adopting a law on the governance of the 
municipalities,  promoting  democratisation,  establishing  a  clearer  division  of 
competences and functions, and increasing the participation of local communities on 
a regular basis. 

Investments: 

- 

In  Sweden,  more  than  21 000  new  study  places  have  been  created  in  regional 
vocational education at upper secondary level, with priority given to unemployed or 
people with education levels below upper secondary education. 

54 

                             Percen age of miles ones and  arge s ul lledComple ed  self repor ed  
-  Portugal delivered 1 500 social housing dwellings to eligible households under the 
social housing programme (1.º Direito - Programa de Apoio ao Acesso à Habitação). 

- 

Italy upgraded 10 railways stations in the south, making them accessible to persons 
with disabilities and persons with reduced mobility. 

Health, economic and institutional resilience  

RRPs  contribute  significantly  to  health  and  economic,  social  and  institutional 
resilience.  They  also  aim  to  increase  crisis  preparedness  and  crisis  response 
capacity.  More  than  1 200  measures  and  sub-measures  for  about  EUR 94.2 billion56, 
included  in  the  27  RRPs,  contribute  to  the  health,  and  economic,  social  and  institutional 
resilience pillar. These measures cover policy areas ranging from health and long-term care 
laundering  supervision. 
to  the  effectiveness  of 
Transformation of the public administration at all levels has also been supported, from the 
investment in the civil service to the modernisation of law-making processes.  

judicial  systems  and  anti-money 

Health, economic and institutional resilience is the pillar where most progress has 
been achieved so far. 1 494 out of the 2 473 milestones and targets contributing to these 
objectives are assessed as fulfilled by the Commission or reported as completed by Member 
States  (see  Figure  27),  which  yields  a  progress  rate  of  60%  (including  42%  assessed  in 
payment requests). 375 of these milestones and targets were assessed by the Commission 
as fulfilled between 1 September 2024 and 31 August 2025. The examples provided in the 
box  below  highlight  key  measures  with  completed  milestones  and  targets  during  the 
reporting period.  

Figure 27: Percentage of all milestones & targets contributing to health, economic & institutional 
resilience that have been assessed as fulfilled or reported as completed, per Member State 

Source: European Commission 

56 This figure shows cost estimates based on the pillar tagging methodology for the Recovery and Resilience Scoreboard and corresponds 
to the measures allocated to the health, economic and institutional resilience pillar as primary and/or secondary policy pillar. 

55 

                                 Percen age of miles ones and  arge s ul lledComple ed  self repor ed  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Examples of relevant measures with fulfilled milestones and targets in the 

reporting period under the health, economic and institutional resilience pillar 

Reforms: 

- 

Ireland  put  in  place  96  community  health  networks,  each  made  up  of  multi-
disciplinary primary care teams delivering local primary health services to a specific 
geographic area.  These networks enable services to be  tailored to the needs of the 
relevant community and improve coordination with health and social support services. 

-  Lithuania adopted a law on ambulance services to ensure faster and more reliable 
emergency  assistance  across  the  country,  guided  by  uniform  national  standards  to 
improve response times and quality of care for patients.  

-  Malta  rolled  out  a  neonatal  hearing  screening  programme  to  identify  babies  with 
hearing problems at an early age. The programme has achieved a screening coverage 
rate of 89.4% of babies born in 2023, exceeding the 85% target.  

Investments: 

-  Croatia upgraded the Clinical Hospital Centre Sestre Milosrdnice with modern medical 
equipment,  digital  tools,  and  a  renovated  neurosurgery  clinic,  to  enable  faster  and 
more  efficient  care,  improved  patient  experience,  and  a  22%  increase  in  treatment 
capacity. The hospital now serves over 700 000 patients a year.  

-  Sweden provided training to 1 500 staff members working in elderly care centres to 

increase the quality of the country’s long-term care system. 

-  France  improved  digital  tools  in  the  health  sector  by  deploying  national  electronic 
health records with more than 40 million people obtaining a dedicated space on the 
digital health platform ‘Mon Espace Santé’. France also enhanced interoperability and 
safety  of  the  software  used  across  the  public  and  private  healthcare  sectors,  and 
provided support and incentives to facilitate the digital transformation of healthcare 
professionals.  In  addition,  it  equipped  facilities  with  essential  digital  infrastructure 
including  reliable  internet  connections,  computers  and  software  to  modernise 
healthcare delivery and improve access for the public.  

-  Luxembourg  set up a digital  register  for  health professions to centralise  data and 
enhance the management of healthcare professionals. The register tracks information 
such as the number of doctors, their specialties, and their geographical distribution, 
enabling the forecasting of professional needs, mobilisation of staff during crises, and 
management of professional licences. 

Policies for the next generation  

Measures  under  the  “policies  for  the  next  generation,  children  and  youth”  pillar 
focus primarily on education, training, early childhood education and care as well 
as measures to support youth employment. The 27 RRPs support this pillar with about 

56 

 
EUR 56.2 billion57.  Around  EUR 45.1 billion  contribute  to  general,  vocational,  and  higher 
education, EUR 7.4 billion contribute to early childhood education and care and EUR 6.1 billion 
contribute to youth employment support. 

Progress is tangible for the milestones and targets contributing to policies for the 
next generation, children and the youth, such as education and skills. So far, 346 out 
of  651  milestones  and  targets  are  already  assessed  as  fulfilled  by  the  Commission  or 
reported as completed by Member States  (see Figure 28), which yields a progress rate of 
53% (including 36% assessed in payment requests). 94 of these milestones and targets were 
assessed by the Commission as fulfilled between 1 September 2024 and 31 August 2025. 
The examples provided in the box below highlight key measures with completed milestones 
and targets during the reporting period. 

Figure  28:  Percentage  of  all  milestones  and  targets  contributing  to  policies  for  the  next 
generation that have been assessed as fulfilled or reported as completed, per Member State 

Note: The  u em ourg’s RRP does not include milestones and targets contributing to policies for the next generation. 
Source: European Commission 

Examples of relevant measures with fulfilled milestones and targets in the 

reporting period under the policies for next generation pillar 

Reforms: 

-  Cyprus  adopted  new  legislation  extending  free  compulsory  pre-primary  education 
from  the  age  of  four  years.  To  enhance  the  availability  and  affordability  of  early 
childhood education and care, aid schemes were launched. This legislation will assist 
with the  (re-)entry of  people with  childcare  responsibilities,  mostly women,  into  the 
labour market and improve children’s educational outcomes and social inclusion. 

57 This figure shows cost estimates based on the pillar tagging methodology for the Recovery and Resilience Scoreboard and corresponds 
to the measures allocated to the policies for the next generation pillar as primary and/or secondary policy pillar 

57 

                                 Percen age of miles ones and  arge s ul lledComple ed  self repor ed  
 
- 

Italy reformed and modernised the curricula of technical and professional institutes 
and recruited 20 000 teachers under the reformed recruitment system. 

-  Lithuania has updated the content of its pre-primary, primary, lower-secondary and 
upper secondary education framework programmes. These updates reflect the latest 
scientific knowledge, ensuring that curricula are relevant and better aligned with the 
learning needs. 

-  Spain  adopted  a  new  law  on  universities  as  well  as  related  legislation  to  promote 
access to higher education, research,  and the transfer and mobility of teaching and 
research staff, and to provide for good governance of university institutions. 

Investments: 

- 

Italy awarded more than 55 000 scholarships for university access to students.  

-  The  Netherlands  developed  a  dedicated  platform  and  increased  funding  for 
schoolboards  to  support  students  in  their  last  year  of  school,  aiming  to  mitigate 
learning losses due to the COVID-19 pandemic.  

-  Sweden increased the funding of universities and other higher education institutions 
to help tackle the challenges in the labour market and thereby enabled the registration 
of around 44 000 additional full-time students. 

Gender and youth  

RRPs contribute significantly to gender equality and focus on children and youth. 
RRPs  contain  136  (sub-)measures  that  altogether  contribute  EUR 21.9 billion58  to  gender 
equality. The breakdown of gender equality relevant measures per Member State is provided 
in  Figure  29.  RRPs  also  include  422  (sub-)measures  that  focus  on  children  and  youth, 
contributing EUR 66.3 billion59. These figures do not include the contribution of other reforms 
and investments that may not initially be regarded as policies contributing to gender equality 
and to children and youth but whose implementation can have a significant positive impact 
in this regard. For example, reforms in healthcare might not initially be considered as policies 
contributing to gender equality but, considering the high percentage of women employed in 
this sector, their effective implementation can contribute to enhancing gender equality.  

58 This figure shows cost estimates based on the pillar tagging methodology for the Recovery and Resilience Scoreboard and corresponds 
to share of measures with a focus on gender equality. 
59 This figure shows cost estimates based on the pillar tagging methodology for the Recovery and Resilience Scoreboard and corresponds 
to the share of measures with a focus on children and youth. 

58 

 
 
Figure 29: Percentage of RRP measures with an explicit focus on gender equality 

Note: The RRPs of Denmark and Luxembourg do not include measures directly contributing to gender equality, although these 
RRPs may include measures that indirectly contribute to gender equality. 
Source: Recovery and Resilience Scoreboard 

Member States continue to progress in implementing measures that contribute to 
gender equality and focus on children and youth. Of the 244 milestones and targets 
with a focus on gender equality, 142 are assessed by the Commission as fulfilled or reported 
by  Member  States  as  completed  or  (see  Figure  30),  representing  a  58%  progress  rate 
(including  33% positively assessed in payment requests). In addition,  375 out of the 702 
milestones and targets contributing to children and youth are assessed by the Commission 
as fulfilled or reported by Member States as completed (see Figure 31), representing a 53% 
progress rate (including 37% positively assessed in payment requests). 23 of the milestones 
and targets contributing to gender equality and 107 of those supporting children and youth 
were assessed by the Commission as fulfilled between 1 September 2024 and 31 August 
2025.  The  examples  provided  in  the  box  below  highlight  key  measures  with  completed 
milestones and targets during the reporting period. 

59 

              
Figure 30: Percentage of all milestones and targets contributing to gender equality that have 
been assessed as fulfilled or reported as completed, per Member State 

Note:  The  RRPs  of  Denmark  and  Luxembourg  do  not  include  milestones  and  targets  directly  contributing  to  gender  equality, 
although  these  RRPs  may  include  measures  that  indirectly  contribute  to  gender  equality.  The  RRP  of  Latvia  includes  several 
milestones and targets contributing to gender equality, which are not yet assessed by the Commission as fulfilled or reported by 
Latvia as completed. 
Source: European Commission 

Figure 31: Percentage of all milestones and targets with a focus on children and youth that have 
been assessed as fulfilled or reported as completed, per Member State 

Note: The RRP of Luxembourg does not include any milestones and targets directly contributing to children and youth, although 
this RRP may include measures that indirectly contribute to children and youth. 
Source: European Commission 

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                                 Percen age of miles ones and  arge s ender    ul lled ender   Comple ed  self repor ed                                  Percen age of miles ones and  arge sChildren    ou h    ul lledChildren    ou h   Comple ed  self repor ed  
Examples of relevant measures with fulfilled milestones and targets in the 

reporting period contributing to gender and youth 

Reforms: 

-  Estonia  continued  to  take  measures  to  reduce  the  gender  pay  gap,  including  by 

improving relevant information available to employers. 

-  Finland  strengthened  the  multidisciplinary  character  of  youth  centres  (Ohjaamo), 
which address the needs of young people not in employment, education or training, so 
as to improve their employment prospects. 

-  Spain enacted legislation putting in place social and employment guidance services 
for victims of sexual violence. These services include legal advice, psychological and 
emotional support, and assistance with labour market integration. In addition, Spain 
invested in projects that deliver these services on the ground. 

Investments: 

-  Austria  rolled  out  early  childhood  interventions  to  support  families  in  vulnerable 
situations  during  pregnancy  and  early  childhood,  thereby  promoting  health  equality 
and social fairness. The programme has achieved full coverage in all districts. 

- 

Italy took actions to increase the participation of young people in the Universal Civil 
Service programme, to simplify procedures and to improve the quality of the projects. 

G. Progress on REPowerEU 

REPowerEU  chapters  continue  to  support  the  resilience  and  sustainability  of  the 
EU’s energy systems 

The REPowerEU Plan,  with the RRF at its centre, has  significantly contributed to 
decreasing  dependence  on  Russian  gas.  In  response  to  the  energy  crisis  following 
Russia’s invasion of Ukraine, the Commission launched the REPowerEU Plan in the spring of 
2022. The RRF is at the heart of its implementation and its funding. The RRF Regulation was 
amended  in  February  2023  to  allow  Member  States  to  revise  their  RRPs  by  adding  a 
dedicated REPowerEU chapter. Additional funding was provided for Member States to include 
new  or  scaled-up  energy-related  reforms  and  investments.  The  reforms  and  investments 
focused on diversifying energy supplies, increasing energy savings, increasing production of 
clean energy, and enhancing the resilience, security, and the sustainability of the EU's energy 
system. As a result of all measures taken so far in the context of the REPowerEU plan, the 
EU has reduced the volumes of imported Russian gas from 150 billion cubic meters in 2021 
to 52 billion cubic meters in 2024 – with the share of Russian gas imports dropping from 
45% to 19%60.  

60 European Commission, REPowerEU – 3 years on, available at: REPowerEU - 3 years on.  

61 

 
 
All 27 RRPs now include REPowerEU chapters. Bulgaria was the last Member State to 
submit a dedicated REPowerEU chapter, in April 2025, and the Council adopted the revised 
plan  in  July  2025.  The  chapter  includes  three  new  reforms  and  three  new  or  scaled-up 
investments. The six measures will help address energy poverty, foster the liberalisation of 
the electricity market, and promote the deployment, storage, and use of renewable energy. 
They complement the more than 261 existing measures in the other REPowerEU chapters. 
With the addition of the Bulgarian REPowerEU chapter,  EUR 65.3 billion in estimated costs 
are now dedicated to the REPowerEU chapters.  

The  REPowerEU  chapters  continue  to  reinforce  the  RRF’s  contribution  to climate 
objectives. Approximately 75% of the total estimated cost of REPowerEU measures account 
as climate expenditure, well above the minimum requirement of 37%, as set out in the RRF 
Regulation. With the  inclusion of the Bulgarian REPowerEU chapter, the  additional support 
under  the  RRF  for  climate  actions  amounts  to  EUR 48.9 billion,  as  compared  to 
EUR 47.8 billion set out in the 2024 RRF Annual Report.  

REPowerEU measures continue to feature a strong cross-border or multi-country 
dimension.  Cross-border  and  multi-country  projects  are  crucial  for  achieving  REPowerEU 
objectives in the medium term and are required under the RRF Regulation. Measures with a 
cross-border or multi-country dimension or effect are those that contribute to securing the 
EU's energy supply or reducing fossil fuel dependency and/or energy demand. In key regions, 
notably  the  Baltics  and  Southeastern  Europe,  new  interconnectors  are  strengthening  EU 
energy security by allowing electricity to flow more freely between Member States – reducing 
bottlenecks and reinforcing capacity. While direct RRF support for large-scale cross-border 
infrastructure has been limited due to their inherent complexity and longer timelines, most 
Member States are investing in energy storage and grid upgrades. These measures improve 
flexibility, efficiency and the integration of renewables, strengthening the EU-wide energy 
system.  In  addition,  reforms  can  also  have  a  cross-border  or  multi-country  dimension  or 
effect, notably those that improve the flexibility, efficiency and integration of renewables, 
thereby  strengthening  the  EU-wide  energy  system.  All  27  REPowerEU  chapters  include 
measures  with  a  multi-country  or  cross-border  dimension,  with  a  total  estimated  cost  of 
EUR 49.6 billion.  This  represents  76%  of  the  total  cost  of  all  measures  included  in  the 
chapters, well above the minimum 30% required by the RRF Regulation.  

Implementation of REPowerEU measures is progressing at pace  

Member  States  made  progress  in  implementing  measures  under  the  REPowerEU 
chapters. 200 out of the 623 milestones and targets included in the REPowerEU chapters 
have been assessed as satisfactorily fulfilled by the Commission or reported as completed 
by the Member States, which yields a progress rate of approximately 32% (including 11% 
assessed in payment requests) (see Figure 33). Almost all (87%) of the fulfilled REPowerEU 
milestones and targets were assessed by the Commission as fulfilled between 1 September 
2024 and 31 August 2025. 

62 

 
 
Overview: The RRF’s support to the REPowerEU Objectives 

Figure 32: Contribution to the REPowerEU objectives, per objective 

Note: The graph shows the associated ex ante estimated costs in EUR billion of measures linked to the REPowerEU objectives 
as defined in Article 21c(3) of Regulation (EU) 2023/435. The ca egory “  her” encompasses measures con ri u ing  o  he 
REPowerEU o  ec ive “Improving energy infrastructure for security of supply”  EUR 1.6 billion   “Requalifying the workforce” 
(EUR 2 billion   and “Addressing energy poverty”  EUR 2 billion). 

Source: European Commission 

Reforms  and  investments  in  clean  energy,  energy  efficiency  and  modern  electricity 
infrastructure are essential for increasing the EU’s resilience and competitiveness. The use 
of  financial  instruments  in  some  Member  States  enhances  the  impact  beyond  the  RRF 
lifetime  and  is  instrumental  in  reducing  the  EU’s  dependence  on  fossil  fuel  imports  by 
diversifying  energy  sources  and  accelerating  the  deployment  of  renewables.  The  RRF 
supports a wide range of priorities under the dedicated REPowerEU chapters, including for 
instance  boosting  energy  efficiency  and 
industrial  decarbonisation,  addressing 
infrastructure  bottlenecks  and  enabling  zero-emission  transport,  and  incentivising  the 
reduction of energy demand. 

1.  Boosting  energy  efficiency,  decarbonising  industry,  renewable  energy 

sources – EUR 35 billion 

The largest share  of REPowerEU chapters funding targets measures to improve energy 
efficiency, accelerate renewable deployment, and support industrial decarbonisation. For 
instance, Member States are investing in deep renovations of residential buildings to curb 
heating costs, in large-scale solar and wind farms, and in cleaner production processes in 
energy-intensive industries through introduction of cleaner technologies such as electrified 
furnaces,  heat  pumps,  and  hydrogen-ready  systems.  These  measures  directly  cut 
emissions, enhance competitiveness, and strengthen long-term energy resilience. 

63 

      illion oos ing energye ciency         illion ddressing o  lenec s   ero emission  ranspor         illion ncen ivisingreduc ion ofenergy demand        illion  her   
 
2.  Addressing  energy-system  bottlenecks,  zero-emission  transport  – 

EUR 17 billion 

REPowerEU chapters are tackling critical energy-system bottlenecks, such as insufficient 
grid capacity, lack of cross-border interconnections, and limited storage capabilities, while 
accelerating the shift to zero-emission mobility. For instance, Member States are investing 
in  new  cross-border  electricity  interconnectors,  modernising  power  grids  to  integrate 
additional shares of renewables, expanding high-speed rail infrastructure, and rolling out 
charging infrastructure for electric vehicles. These measures remove structural barriers, 
strengthen the single energy market, and facilitate the uptake of clean transport. 

3.  Incentivising reduction of energy demand – EUR 6 billion 

Member States are using REPowerEU chapters funding to drive immediate and sustained 
reductions  in  energy  consumption,  including  through  increased  energy  efficiency.  For 
instance,  Member  States  are  investing  in  schemes  to  replace  inefficient  boilers  and 
appliances,  energy  audits  for  SMEs,  and  financial  incentives  for  households  to  reduce 
energy consumption. These actions deliver rapid energy savings, help balance supply and 
demand, and reduce reliance on fossil-fuel imports. 

Figure 33: Percentage of all milestones and targets contributing to the green transition that have 
been assessed as fulfilled or reported as completed, per Member State 

Source: European Commission 

In the last year, most of the positively assessed REPowerEU milestones and targets 
reflect  progress  with  renewable  energy  and  networks,  as  well  as  significant 
regulatory  reforms  to  speed  up  deployment  of  renewables,  incentivise  energy 
efficiency renovations and promote sustainable mobility. For renewable energy and 
networks, Estonia, Italy and Latvia recorded the largest number of fulfilled milestones and 
targets with progress related to this area spreading across 11 plans in total. Czechia, Portugal 

64 

                             Percen age of miles ones and  arge s ul lledComple ed  self repor ed  
and Italy introduced regulatory changes for smart, sustainable and inclusive growth. Italy, 
Luxembourg and Portugal supported actions to improve sustainable mobility. The examples 
provided  in the box below  highlight key measures with completed milestones and targets 
during the reporting period.  

Examples of REPowerEU measures with fulfilled milestones and targets in 

the reporting period 

Reforms: 

-  Germany enacted a key reform to accelerate the deployment of offshore wind energy 
power plants. The reform removes bureaucratic bottlenecks in planning and approval 
processes  and  raises  the  ambition  of  the  expansion  path  of  offshore  wind  energy 
generation from 40 GW by 2040 to 70 GW by 2045. 

-  Portugal set up the National Energy Poverty Observatory, a dedicated body to oversee 
and drive efforts to alleviate energy poverty in Portugal. With one of the highest energy 
poverty rates in Europe, this reform will help eradicate energy poverty in Portugal by 
analysing and developing policies, as well as by monitoring, supervising, coordinating 
and reporting on the implementation of the Long-term Energy Poverty Strategy.  

-  Czechia adopted the third legislative amendment to the Energy Act under REPowerEU 
(LEX  RES  III)  to  establish  a  regulatory  framework  for  flexibility  services,  promoting 
innovative solutions to optimise energy flows and integrate renewables. Building on 
prior reforms that accelerated permitting, created energy communities, and launched 
the  Electricity  Data  Centre,  Czechia  also  introduced  a  framework  for  renewable 
acceleration  areas.  Since  the  introduction  of  the  RRP,  renewable  energy  capacity  in 
Czechia has increased by approximately 46%. 

-  The Netherlands amended its electricity grid code through a decision by the Authority 
for  Consumers  and  Markets.  The  decision  provides  additional  instruments  to  grid 
operators for more flexible use of the electricity grid when the grid is congested, as 
well as incentives for demand reduction and reallocation of grid capacity.  

Investments: 

- 

In  Slovakia,  the  Energy  Data  Centre  has  entered  into  operation,  improving  the 
preconditions for the connection of renewable energy sources by streamlining required 
data. This allows aggregation of flexibility while improving the conditions for energy 
communities and sharing of renewable energy sources.  

-  Estonia signed a co-financing agreement to expand its electricity distribution network. 
The project will increase network capacity by 160 MW, enabling greater integration of 
renewable energy sources and strengthening the country’s energy security. 

- 

Italy  awarded  all  contracts  for  the  construction  of  511  kilometres  of  high-voltage 
cables connecting Caracoli to Eboli. This strategic infrastructure project will reinforce 
the national transmission grid, improve electricity flows between regions, and facilitate 
the integration of renewable energy production. 

65 

 
Conclusion 

The  RRF  has  shown  significant  implementation  progress  over  the  past  year.  By 
31 August  2025,  a  total  of  EUR 362 billion  in  RRF  funds  had  been  disbursed  to  Member 
States,  corresponding to the satisfactory fulfilment of  2 586 milestones and targets. This 
represents 56% of the overall allocation (61% of the total non-repayable support and 48% 
of  the  total  loan  support).  During  the  reporting  period,  from  1  September  2024  to 
31 August 2025, critical milestones and targets were fulfilled, strengthening Member States 
economies  and  contributing  to  key  EU  objectives  such  as  the  green  transition  and  digital 
transformation.  

The  RRF  is  generating  real  impact  across  the  European  Union,  contributing  to 
sustainable  economic  growth,  together  with  economic,  social  and  institutional 
resilience. By the end of 2024, Member States had spent about 80% of the RRF grants they 
had  received,  with  almost  three  quarters  of  the  recorded  expenditure  supporting  public 
investment. This underscores the key role the RRF has been playing in supporting investment 
in the aftermath of the COVID-19 crisis. Its global cumulative impact is estimated to amount 
to EUR 892 billion over 2020-2030, including spillovers and indirect effects. This points to 
the RRF’s contribution to long-term growth extending well beyond the strict payments of RRF 
funds into Member States’ budgets61. Moreover, these estimates do not reflect the expected 
additional economic benefits of structural reforms spurred by the Facility. Indeed, under the 
RRF  the  implementation  rate  of  country-specific  recommendations  by  Member  States 
increased by 17 percentage points compared to before the RRF, demonstrating the Facility’s 
success in contributing to addressing long-standing challenges. 

Looking  forward,  Member  States  need  to  urgently  accelerate  implementation 
efforts to ensure its successful completion by August 2026. Uneven implementation 
persists  across  Member  States,  which  must  accelerate  efforts  to  fulfil  the  remaining 
milestones and targets to fully leverage the RRF’s potential by the upcoming deadline. In its 
Communication  NextGenerationEU  –  The  road  to  2026,  the  Commission  has  provided 
guidance to support Member States in planning ahead for the submission of the last payment 
requests in 2026, emphasising the importance of streamlining RRPs. As many Member States 
still need to fulfil a significant number of milestones and targets, efforts need to intensify 
regarding simplification of RRPs and adherence to the established timelines, while complying 
with  all  requirements  of  the  RRF  Regulation.  Swift  action  by  the  Member  States  in  the 
remaining months will be crucial to bring the RRF to a successful conclusion. The Commission 
stands ready to provide continuous guidance and support throughout the process. 

61 See Michels et al (2025), Economic impacts of the Recovery and Resilience Facility: new insights at sectoral level and the case of Germany, 
available at: Economic Impacts of the Recovery and Resilience Facility: New Insights at Sectoral Level and the Case of Germany. 

66