The RHOMOLO and FIDELIO interim evaluation of the impact of Horizon Europe

This paper presents a macroeconomic evaluation of the impact of the Horizon Europe Framework Programme for Research and Innovation, for which projects have been signed between 2021 and 1 July 2024, using the general equilibrium models RHOMOLO and FIDELIO. The RHOMOLO model simulations suggest that the GDP gains would be up to 0.10% in 2024 and significant in the medium term, with a cumulative multiplier of over 4. The FIDELIO model is used to disaggregate the impact of Horizon Europe funds on EU R&D expenditure and by sector. The results indicate that the positive effects on innovation gains, with business investment contributing to substantial GDP gains after the intervention period, are mainly directed towards business R&D in manufacturing.