EU Report 2025: Education Investment Drives Future Competitiveness and Economic Resilience
SDG 4: Quality Education | SDG 9: Industry, Innovation, and Infrastructure
Institution: Ministry of Education | NITI Aayog
The European Commissionβs 2025 Investing in Education report underscores education as a key driver of economic competitiveness and social resilience. In 2023, EU countries spent an estimated β¬806 billion on education, accounting for 9.6% of public expenditure and 4.7% of GDP on average, indicating a rebound from pandemic lows. Notably, even modest improvements in basic skill levels, if widely achieved by 2030 could uplift GDP by 8β10% above current projections.
The report also emphasizes long-term benefits from education spending, including improved innovation, productivity, and equity. As European populations age, education becomes essential to counteract demographic decline through better employment outcomes and tailored learning investments. The EUβs evolving economic governance mechanisms, including the Union of Skills initiative, Erasmus+, and Recovery & Resilience Facility are supporting strategic, quality-enhancing investments in education.
For India, the report offers timely lessons on integrating public education investment with broader economic transitions - especially in skills for the green and digital economy, boosting productivity, and building human capital as a cornerstone of competitive growth.
Follow the full report here: