Spain's Government Declares Recovery Plan Near Success Ahead of EU Deadline

The Spanish government celebrated what it called the success of the EU pandemic recovery plan in a ceremony at Madrid's Teatro Real, with Prime Minister Pedro Sánchez and ten ministers in attendance. Sánchez said two‑thirds of the European funds have been directed toward digital and ecological transition, contrasting it with previous administrations. The event highlighted reforms such as the labour reform, the Crea y Crece law and the Start‑up law, and introduced the sovereign fund "España Crece" backed by €13 billion, expected to mobilise up to €60 billion directly and possibly €120 billion with private capital.

European Commission Vice‑President Teresa Ribera praised the programme’s role in strengthening the EU’s strategic autonomy. Spain received roughly €163 billion in grants and loans under the EU Resilience and Recovery Mechanism. The deadline to spend the funds is 31 August 2026. Spain has voluntarily relinquished €60 billion in soft loans, reducing the total to €22.8 billion, and has so far allocated €79.854 billion, leaving the amount of unspent money uncertain.