Over the course of the years, European Union funds and support have
generally been an essential element in the convergence process and in the
economic and social development of the Autonomous Region of the Azores.
Public investment subsidised by the European Union has been structured along
two main strategic guidelines:
− Providing the necessary investment for basic infrastructure in diverse
areas and in the nine islands of the archipelago, keeping in mind the lack
of such infrastructure, primarily due to the territory being an archipelago
covering a vast expanse and the resulting needs to provide a minimum
level of public infrastructure;
− Economic and social structures which includes promoting private
investment and enhancing human capital.
In the current environment, the process of financial and economic adjustment
currently underway in Portugal has naturally had a negative impact on
economic and social conditions in the Azores, especially in terms of economic
growth and unemployment of the active population, particularly evident among
young people.
On the other hand, obligations in terms of adjusting public expenditure have
required the public sector to accommodate the impact of the external crisis even
though, over the course of the years, regional finances have been strictly
managed. This is reflected in a current deficit of just 0.4% of GDP and public
debt of 19% - figures which are very different from the national situation.
The new period of 2014-2020 will start in the Azores against this backdrop of
difficulties and uncertain prospects in the short and long-term, along with
changes in the economic cycle and the behaviour and confidence of economic
agents, both nationally as well as at a European level. This is a turning point for
progress considering the transition between the infrastructure component –
which is in a very advanced phase but has not yet been completed or closed –
and the progressive and necessary development of public policies aimed
directly at production activities and seeking to ensure a balance and economic
and social cohesion.
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This Action Plan clearly defines guidelines to increase the regional economy’s
level of competitiveness, both in core and specialised areas as well as in terms
of promoting the diversification and robustness of new sectors and areas of
economic production. It also aims to free the potential of these sectors for new
private investors.
At the same time, policies to actively promote private sector employment are a
priority, linking the qualifications of human resources to the needs of
companies, while protecting underprivileged sectors of society and thus
minimising social exclusion and poverty.
The means and tools to be mobilised also have clear objectives and suitable
conditioning factors to achieve equitable and proportional distribution in the
territory, with equal opportunities, environmental sustainability and efficiency
and the preservation of resources.