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In the face of deglobalisation, decreased competitiveness, and the lack of innovation in the European Union (EU) countries, national development institutions, due to their unique mandates and operational capabilities, have emerged as an effective tool in the hands of governments on the path to long-term sustainable economic growth. This book analyses the contemporary economic situation in the selected EU countries, diagnosing key structural challenges and evaluating the capacity of development institutions to address them. It delineates the mechanisms employed to support economies through the system of development institutions in the EU.

The book offers a comprehensive examination of the strategies and policies that these institutions apply and an overview of the support instruments they make available to the state. Further, it presents a comparison of the activities of selected development institutions and examines their efficiency, delivering an understanding of the challenges and opportunities, such as recovering from the COVID-19 pandemic or building resilience against modern security threats and fostering the EU's strategic autonomy. This monograph contributes to the ongoing academic discourse by offering a distinct perspective on development institutions, differentiated by its rigorous focus on the European context rather than general global trends, and grounded in robust empirical data and recent research. Additionally, it includes practical economic policy recommendations and case studies to inspire further research.

Bridging the gap between economic theory and banking practice, this volume is an essential resource for academics in macroeconomics and public finance, as well as policymakers shaping the future of the European financial architecture.