Common rrf Indicators and sdgs Framework: A Proposal for a Composite Index

The main component of the NextGeneration eu (ngeu) program is the Recovery and Resilience Facility (rrf), spanning 2021 to 2026. The rrf is associated with a monitoring system composed of two main elements: the milestones and targets associated with each measure that allows the implementation of specific reforms and investments to be assessed; the system of 14 common indicators, measured on specific quantitative scales. The aim of this work is to delve deeper into the first empirical evidence of the indicator system, highlighting how it may be integrated with the sustainable development framework (sdgs). The proposal allowed the development of two composite indices. The first, called sdgs-rrf, uses the connection between the 14 common indicators and the related indices of the sdgs framework for France, Germany, Italy, and Spain for the period 2014-2021. The second was built using the sdg indicators attributable to a single component of the Italian Recovery and Resilience Plan, namely from research to business. This approach, derived from the indicators already present within the European statistical system, constitutes a first step towards a wider use of the sdgs for monitoring the rrf, representing a possible complement to the system of common indicators. This would also make it possible to strengthen the use of the sdgs within the analyses of the European Semester prepared by the European Commission. From this perspective, the Italian experience is valuable, considering the inclusion of well-being and sustainability indicators within public finance documents and the availability of the pnrr-sdgs dashboard prepared by Istat and the State General Accounting Department (rgs).