Could your company benefit from the European Funds for digitalization?

They kept us waiting, but we can finally announce that the European recovery funds are a reality. They have now been published, which means that companies meeting the requirements can start applying for them.

But what exactly are they? Who can apply? How much money are we talking about? Below we reveal some of the key points of these European Funds for the digitalization of companies. If you still have questions after reading this article, get in touch and we will give you a hand.

What the European recovery funds are

After the crisis triggered by the Covid-19 pandemic, the business fabric of most countries has been left damaged. To provide tools for companies to recover and survive, Europe has developed the so-called Next Generation EU Funds, approved on 21 July 2020.

The total amount available is 750 billion euros, and the timeline for disbursing it extends to 2026. These funds are split into numerous instruments, but the two that really matter are: the RRF (Recovery and Resilience Facility), with 672 billion euros to support a sustainable, digital recovery; and ReactEU, with 47.5 billion euros and greater flexibility.

What the foundations of these Next Generation EU Funds are

The Spanish government has drawn up its own plan, built on four cross-cutting pillars: ecological transformation, digital transformation, gender equality, and social and territorial cohesion. The plan also includes 10 driving policies, one of them being the modernization and digitalization of SMEs, to which 17.1% of the resources have been allocated: one of the largest shares of all.

The reasoning is that Spain lags behind the rest of Europe in business digitalization, and the government wants to push this agenda. If you are going to carry out a digitalization project, you will need to check whether it falls within the projects the funds cover.

What kind of services or projects these funds cover

Bringing all of this down to earth, it translates into: digital product design (software architecture, databases, UX, UI, web and mobile applications, blockchain); turning physical products into digital ones; artificial intelligence (data analysis, virtual assistants, computer vision, automation/RPA); cloud (cloud transformation, Big Data, infrastructure and platforms); and others such as 3D printing, online strategies or innovation workshops. At Neurafy we can help you develop any of these types of projects.

How much will be set aside for Spain

Spain expects to receive around 140 billion euros. A significant portion of this will go to non-repayable grants channeled through the RRF and ReactEU. The policy for modernizing and digitalizing the business fabric and SMEs, with 17.1% of the resources, amounts to roughly 12.24 billion euros.

Which companies can apply for these funds?

In general terms, the conditions to meet are: developing projects that fit the lines set out by the European Union; preparing a project report detailing what the investment will go toward; submitting the application correctly, ideally getting advice before taking the step; and executing and documenting the project exactly as the EU guidelines require.

The outlook is promising once again, and everything suggests that digital transformation in companies will be the star of the coming years. If you need more information, get in touch with us.