Barcelona has disbursed 88% of the European Next Generation funds allocated to the city, officials announced October 19, 2025. the rapid rate of execution positions Barcelona as a leader in utilizing the EU recovery mechanism designed to spur economic growth and resilience following the COVID-19 pandemic.
The considerable progress in fund deployment-totaling a notable portion of the city’s allotment-is expected to accelerate key infrastructure projects, bolster social programs, and drive innovation across multiple sectors. These investments aim to address long-term challenges and enhance Barcelona’s competitiveness on a global scale.The remaining 12% is tied to project milestones expected to be met in the coming months,according to city authorities.
Launched in 2021, the Next Generation EU initiative provides member states with substantial financial support to mitigate the economic fallout of the pandemic and foster a sustainable, inclusive, and digital recovery. Spain is among the largest beneficiaries of the fund, with Barcelona receiving a dedicated share for projects aligned with the EU’s priorities, including ecological transition and digital conversion.
The Barcelona City Council highlighted projects underway including improvements to public transportation, energy efficiency upgrades in public buildings, and initiatives to promote digital skills development among residents. The city is also leveraging the funds to support small and medium-sized enterprises (SMEs) and stimulate job creation.
