Italy's Draghi to present long-awaited report on EU competitiveness

Former Italian prime minister Mario Draghi is to present his long-awaited report for the revival of the European Union's economic competitiveness on Monday.

The Draghi report covers multiple sectors from capital markets to the defence industry as well EU rules covering state aid regulation, according to EU diplomats.

Over a year ago, with EU countries fretting increasingly about the economy, the European Commission tasked Draghi with drafting a plan to reverse the bloc's economic fortunes.

The report is to inform a new strategy for economic competitiveness which is a priority for the second term of European Commission President Ursula von der Leyen.

In a wide-ranging overview to EU member states ahead of the presentation, Draghi detailed "a rapid and sudden loss of competitiveness for the EU," an EU diplomat said.

High energy prices, skills gaps and poor innovation capacity in the EU were just some of the issues identified by the former president of the European Central Bank (ECB), according to EU diplomats.

This drag on the EU's economy was causing the bloc to fall behind economic competitors, the former Italian prime minister said.

Familiar reasons were identified by the former Italian prime minister for the development, including the Covid-19 pandemic, the war in Ukraine and inflation linked to both as well as rising energy prices.

While Draghi did not make specific policy proposals in his preview, he did call for unprecedented cooperation between EU member states and reforms of the EU institutions.