Regional resilience in the era of climate change and digitalization

The impacts of the green and the digital transitions on the regional economic structure of the European Union are of paramount importance and have been at the forefront of the recent policy discussions. This paper contributes to the ongoing discussion by developing a composite indicator to assess the overall risks imposed by the twin transition on the EU's NUTS2 regions. The indicator focuses on two key aspects: the regions' vulnerabilities and their readiness to adapt to the challenges of the transition. The risk index highlights the large degree of heterogeneity in terms of the risk imposed by the transition process, with the less-developed regions emerging as the most vulnerable.