The political vision outlined in the report by former European Central Bank president Mario Draghi risks fueling a race to the bottom for Europe’s workers and environment. While the call for a significant increase in investment—€800 billion annually for key transitions—is welcome, Draghi’s plan to fund this primarily through the private sector, extending finance via capital markets, misses the mark. A robust public sector must be the driving force behind Europe’s recovery, not private profits.

Co-chair Manon Aubry (La France Insoumise, France):
“While Draghi’s emphasis on boosting investment is interesting, his push towards more liberalization, deregulation, and private sector incentives signals more of the same outdated EU economic dogma that has failed both people and the planet for decades. Pursuing competitiveness always risks lowering wages, weakening working conditions, and reducing social protections, while environmental standards get compromised in the name of profit.”

Co-chair Martin Schirdewan (DIE LINKE, Germany):
“Instead of confronting the dominance of overseas corporate giants with proper anti-monopoly measures, Draghi’s plan looks set to create new corporate monsters within the EU. This logic is deeply flawed. We should be breaking up overpowered corporations, not creating new ones. His proposal to pool debt only serves to fund mega-corporations, and when these become ‘too big to jail,’ the public will be left to clean up the mess.”

Deregulation Risks: One of the most concerning aspects of the report is Draghi’s call to revisit banking prudential regulations and reduce the administrative burden on businesses. This push for deregulation could dangerously undermine safeguards designed to protect consumers, workers, and the financial system itself.

While Draghi proposes addressing the competitiveness gap with the U.S. and China, he fails to address the more pressing need: building an economy that works for people and the planet. The report’s overreliance on economic growth, innovation, and technology as magical remedies ignores the growing inequality and poverty across Europe. Focusing on boosting productivity alone will not solve the EU’s deep structural problems.

The lack of transparency in drafting the report has raised questions, but more critical is its fundamental direction. Instead of rethinking the European economy in a way that prioritizes social justice, environmental sustainability, and reducing inequality, this plan sticks to the failed logic of prioritizing corporate profits.

The Left in the European Parliament will fight against this misguided approach. We advocate for an economy that works for everyone, not just large corporations. A European future cannot be built on deregulation and liberalization—it must be rooted in strong public investment, protection of workers’ rights, and a commitment to social and environmental justice.