The Pelješac Bridge is the largest ever EU investment in infrastructure in Croatia.
What the EU does
The European Union's regional and urban policy is designed to support all regions and cities across the EU. As part of the EU’s cohesion policy, it fosters economic growth, and helps improve the quality of life of all EU citizens.
Regional and urban policy reflects European solidarity. It dedicates the majority of its funding to less-developed countries, regions and cities, helping them catch up economically and socially, thereby reducing disparities that still exist in the EU.
Specifically, this policy aims to
- strengthen economic and territorial cohesion by promoting balanced regional development
- improve connectivity and sustainability by financing major infrastructure projects, particularly in the environment and transport sectors
- advance the clean transition through energy efficiency, renewable energy, and climate change adaptation initiatives
Regional and urban policy is primarily implemented through three main funds:
- European Regional Development Fund – promotes innovation, digitalisation, growth of small and medium-sized enterprises (SMEs), and the transition to a low-carbon economy
- Cohesion Fund – targets Member States with a Gross National Income (GNI) per inhabitant below 90% of the EU average
- Just Transition Fund – supports regions and communities most affected by the shift to a climate-neutral economy
Facts about regional and urban policy
Areas of action
Discover all the areas where EU regional policy makes a difference
Helping cities to grow sustainably
Coordinated financial support when crises strike
European territorial cooperation and its programmes
See concrete examples of regional policy helping regions and countries
Information on different funds and how to access them
Key achievements
- Regional and urban policy has improved essential infrastructure, including the construction or upgrading of thousands of kilometres of roads and railways.
- With more than €100 billion for the development of renewable energy, energy efficiency and sustainable urban transport, this policy has played a key role in advancing the green transition.
- Regional and urban policy has served as a key stabilising force, mobilising billions of euros to help countries and regions respond to the COVID-19 pandemic, the arrival of millions of refugees from Ukraine and the energy crisis.
- It has significantly reduced regional disparities, helping less-developed areas catch up by supporting innovation, competitiveness, and better access to public services.
- EU cohesion policy has boosted employment across all Member States, so far supporting the creation of 260,000 new jobs since 2019, out of a projected 1.3 million by 2027.
Discover more achievements by checking investments made under regional policy in your country.
In focus
The mid-term review of cohesion policy contributes to the modernisation of the EU’s main investment policy, while continuing to deliver on its mission of reducing regional disparities. It aims to adjust investment priorities under cohesion policy programmes to the evolving economic, societal, and geopolitical context, as well as climate and environment objectives.
This page was last updated on 5 December 2025