The EU is lagging dangerously behind its economic rival, the United States, and should use new joint borrowing to finance vital investments. 

A keenly awaited report said Monday called it an "existential challenge" to boost productivity.

Citing the bloc's successful Covid recovery fund, former Italian premier Mario Draghi argued it should issue new "common debt instruments, which would be used to finance joint investment projects that will increase the EU's competitiveness and security."