STRING: Cross-border cooperation strengthens growth in northern Europe
A new study by the Kiel Institute for the World Economy shows that the STRING region along the southwestern Baltic Sea is outperforming its national benchmark regions both economically and demographically. To safeguard this growth, the study recommends that policymakers reduce cross-border administrative barriers, strengthen institutional coordination, and improve connectivity around the Fehmarn Belt Fixed Link. Major cities such as Hamburg, Copenhagen, and Oslo benefit alongside rural areas in Schleswig-Holstein, southern Denmark, and southern Sweden.
“The development of the STRING region is driven by the growth of the metropolitan areas,” says Robert Gold, co-author of the study. “Less densely populated regions benefit from being connected to these centers.”
Read now: „Development Perspectives of STRING – How to Form a Thriving, Sustainable and Resilient Megaregion“
STRING stands for South-western Baltic Sea Transregional Area – Implementing New Geography and includes cities and regions stretching from Oslo via Gothenburg, Malmö, and Copenhagen to Hamburg, Schleswig-Holstein with Kiel, and southern Denmark. The aim of the cooperation is to create a cross-border integrated economic area.
Increased attractiveness for highly skilled workers
The analysis shows that urban centers such as Hamburg, Copenhagen, and Oslo are growing well above average in terms of economic output, employment, and productivity. This dynamic extends far into surrounding areas. Schleswig-Holstein benefits from its connection to Hamburg and the rapidly growing Scandinavian cities. In southern Denmark, labor market opportunities and business activity are improving along the Fehmarn Belt corridor between Copenhagen and the German border. Population growth is also evident in southern Sweden around Malmö and in the wider Gothenburg area.
While rural regions frequently have to cope with out-migration and population ageing, all member regions faced population growth and were able to increase the share of highly qualified workers.
Policy needs to reduce administrative barriers
However, the authors point out that national jurisdictions and differing regulatory frameworks are noticeably slowing integration within STRING. Despite its positive development, STRING is not yet a so-called mega-region with closely integrated labor markets and intensive flows of knowledge and goods, such as the San Francisco Bay Area in the western United States or the Dutch Randstad (Amsterdam – Rotterdam – The Hague – Utrecht).
The authors see the STRING organization as a suitable institutional framework for reducing administrative barriers in northern Europe. The authors therefore recommend, first, expanding STRING’s mandate as a joint political advocacy platform to more effectively represent northern European interests vis-à-vis national governments and the EU. Second, members should be free to decide the extent to which they participate in deeper cooperation projects.
Fehmarn Belt fixed link as a catalyst for integration
Improving transport links within the STRING region and to other major economic centers in Europe is key to the success of joint projects. The Fehmarn Belt Fixed Link could make a significant contribution to this goal if connectivity within the entire northern European economic area improves. “Whether STRING can take the next step toward becoming a fully integrated megaregion in northern Europe depends on whether the cooperation can deliver tangible economic benefits to its members,” says Gold. “What is more, beyond the economic advantages, cross-border cooperation between reliable partners also helps to increase northern Europe’s resilience.”
