36 million EUR for the economy

The France 2030 financial package has already benefited some 40 projects in Réunion for a total of EUR 36 million. However, some adjustments are still needed.

Government support for innovative companies

Bruno Bonnell, Secretary General for Investment and pilot of France 2030, visited Reunion Island on December 14 and 15. His visit was part of the launch of the financial scheme to support innovative initiatives on La Réunion and thus contribute to the economic transformation of the island. The national program represents a total of EUR 54 billion. It aims to support the competitive transformation of companies, universities and research institutes in strategic sectors. France 2030 will address tomorrow’s environmental challenges.

Among the requirements are vocational training, business start-ups and the need to mobilize private capital to take over from the state. Mr. Bonnell emphasizes that the viability and economic development of companies cannot be ensured by the state alone, but also requires the participation of the private sector. The Secretary General of this program points out that despite government support, the failure of a company cannot be excused. Nevertheless, he stresses the importance of informing the state of any threat to a company’s viability.

Réunion tops the list of France 2030 winners

Overall, this investment support is well thought out. In terms of the number of winners, Réunion leads the list of French overseas territories with 42 % of the total. Réunion accounts for 30 % of all France 2030 funds earmarked for overseas France. What’s more, Réunion outperforms several French regions, placing it in the top half of the ranking.

However, adjustments are still needed, particularly in the overseas regions. Despite Réunion’s dynamic candidacy, its economic fabric is mainly made up of very small enterprises (VSEs). The department lacks the financial engineering needed to prepare bids that meet national requirements. It is important to note that the France 2030 target does not cover the financing of the engineering required to prepare complex dossiers.

Regional France 2030 to support innovation in VSEs

In response to the issues raised, Bruno Bonnell proposes the alternative of the France 2030 regional fund. Initially endowed with 3 million EUR this fund has been increased to 4.5 million EUR thanks to a contribution from the French government. « This is an equal partnership between the state and the region, with one euro from the state for every euro invested by the region.  For La Réunion, it was decided that every euro from the region would be doubled by two euros from the state », said Bruno Bonnell. Under the authority of the President of the Region and the Prefecture, this fund is already financing four projects to the tune of more than 600,000 EUR. These funds are granted in the form of grants or repayable advances.