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Regional Discrepancies in Europe

The EU cohesion policy is focusing on reducing gaps and rising opportunities for all its regions, and yet discrepancies and gaps still exist

Bucharest / Photo:PJ Gal-Szabo/ unsplash.com)
Bucharest / Photo:PJ Gal-Szabo/ unsplash.com)

, 26.10.2026, 13:50

The European Union continues to face major differences in terms of regional development, the latest Eurostat data says; while investment, jobs and economic activities with higher added value are concentrated in some regions, other regions are facing higher unemployment rates, limited incomes and opportunities.

According to Eurostat, in 2024, the GDP per capita, expressed in standards of purchasing power, saw a significant fluctuation among the EU regions, from 270% in a certain region in Ireland to a little over 30% of the European average in France’s peripheral region of Mayotte.

Regional discrepancies are also visible when it comes to employment. In 2025 the EU reported an unemployment rate of 6%, but in some regions it went over 20%. However, there were European regions, which reported unemployment rates under 2%. These differences are influenced by the local economy structure, the investment level, access to education and professional training as well as workforce mobility.

Romania offers a relevant example of unequal regional development. Data shows that the Bucharest-Ilfov region, which has seen one of the EU’s strongest economic growths since the Covid-19 pandemic, has been ranking third in the Union in terms of economic growth in the past five years.

With a 33% growth between 2019 şi 2024, Romania’s capital city and its surroundings ranks third after two regions in Ireland. Just like in the case of other developed EU regions Bucharest-Ilfov accounts for a significant part of the economic activity in Romania, as here are located most of the head offices of various companies and one can find here the largest number of jobs in sectors with a higher added value.

But Romania also appears in a ranking of the regions with the sharpest economic slumps in the Union. The southern-Muntenia region comes fourth in the ranking and southwestern Oltenia, fifth. The biggest losses have been reported by a region in Bulgaria, where the real GDP dropped by 20.5%, followed by another one in Greece and the Groningen region in the Netherlands. At the entire EU level, the GDP rose by 5.6% in real terms in the same period. Out of the 244 regions studied, 197 have exceeded the economic level of 2019, whereas 46 have registered drops.

Data shows real economic growths and drops, after the Eurostat has eliminated the impact of price hikes so that they may not be mistaken for economic growth. These evolutions show that economic development does not necessarily translate as uniform progress at regional level; the infrastructure, access to investment, the economic structure and population migration may contribute to the increase or decrease of gaps and differences.

(bill)

 

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