What does Local Economic Development (LED) bring to the EU's Global Gateway?

Local Economic Development (LED) plays a crucial role in the European Union's Global Gateway initiative by fostering sustainable economic growth and enhancing the quality of life in partner countries. The Global Gateway, launched in 2021, aims to mobilize up to €300 billion in investments to create smart, clean, and secure links in digital, energy, and transport sectors, while also strengthening health, education, and research systems globally.

Key Contributions of LED to the Global Gateway

1. Empowerment of Local Communities: LED emphasizes the involvement of local stakeholders, including public and private sectors as well as civil society, in the development process. This bottom-up approach ensures that the needs and priorities of local communities are addressed, leading to more effective and sustainable outcomes.

2. Economic Growth and Job Creation: By supporting small and medium-sized enterprises (SMEs) and fostering entrepreneurship, LED helps to create job opportunities and stimulate economic activity. This aligns with the Global Gateway's goal of enhancing economic development in partner countries, thereby providing a foreign policy dividend for the EU .

3. Sustainable and Inclusive Development: LED promotes practices that are environmentally sustainable and socially inclusive. The Global Gateway's focus on green and clean investments, as well as its alignment with the UN’s Sustainable Development Goals and the Paris Agreement, underscores the importance of sustainability in its projects.

4. Infrastructure Development: LED integrates urban planning and infrastructure development to improve local conditions. The Global Gateway supports this by investing in quality infrastructure projects that respect high social and environmental standards, thereby enhancing the competitiveness and attractiveness of local areas.

5. Capacity Building and Knowledge Sharing: LED initiatives often include capacity building and knowledge sharing among local actors. This is crucial for the successful implementation of the Global Gateway projects, as it ensures that local communities have the skills and expertise needed to maintain and benefit from new infrastructure and services.

6. Enhanced Connectivity: The Global Gateway aims to connect goods, people, and services globally in a sustainable way. LED contributes to this by improving local infrastructure and services, which facilitates better integration of local economies into global value chains.

You see, Local Economic Development brings a comprehensive and participatory approach to the EU's Global Gateway initiative. By focusing on local empowerment, sustainable growth, and infrastructure development, LED helps to ensure that the Global Gateway projects deliver lasting social and economic benefits to local communities, thereby narrowing the global investment gap and promoting global prosperity.