**5. Discussion**

The analysis identified and presented, mainly within the literature review section, a significant variety of research and studies related to the bioeconomy, reflecting the complexity of the transition process and its substantial transformations. Several studies approached a smaller number of countries for a shorter period of time. The focus within those studies was on one or two indicators. A study on bioeconomy [13] reflected the essential factors for the development of a sustainable bioeconomy, describing and linking economic factors, socio-economic factors, and ecological factors. The present analysis selects factors from each of the three mentioned categories, as per the study [13], identifies data, uses instruments to research the inter-linkages between the factors, tests hypotheses, and provides conclusions.

This study advances the reader's understanding of the research problem by considering for analysis a larger number of countries over a longer period of time. The focus of the study is on six indicators, significantly larger than in other related studies.

At the level of the sample of analyzed European countries, there is a tendency of long-term convergence in this area. The estimated models highlight the existence of a significant common long-term trend and an adjustment speed. These characteristics are due to the economic policies that exist not only at the level of the European Union, but also through the economic treaties it has with other European countries, which are meant to open up the trade and trade flows. Obviously, in the short term, heterogeneities are highlighted because they depend on the internal conditions and the structural specificity of the national economy of each country in the sample.

The study advances the reader's understanding by presenting the diversity of financial instruments, explaining the importance of financial mechanisms and financial resources as well as their risks and vulnerabilities, and the connection with bioeconomy and with the analyzed factors.

Considering the results of the empirical study, it is necessary to anchor them in the context of allocating/ensuring adequate financial support. In order to strategically orient the European economy towards the bioeconomy, there are needed financial resources, allocated through European programs, but also alternatives: Private and public financial resources to co-finance and support this transition process, the results of which will be reflected in the long term. The bioeconomy, by building a strategic vision and translating it at the regional level, can be the driving factor of societal changes. According to the European Commission [10], 67% of regions used European Structural and Investment Funds (ESIF) as a source of funding to support bioeconomic activities and access cooperation programs (for cooperation between regions: Joint Programming Initiatives; for other programs to promote the bioeconomy: Interreg, LIFE +, CIP/COSME, ERASMUS+, Intelligent Energy Europe) [10]. Specific mechanisms for granting ESIF funds to synergistic projects have been developed at the levels of several countries and regions (Italy, Czech Republic, Spain, France) together with public–private partnerships for the diversification of funding sources. The investment dimension is significantly larger than the capacity of the public sector. The European Commission estimates an additional annual investment requirement to reach the current targets set for 2030, in terms of climate and energy, of approximately 260 billion EUR, or, respectively, 1.5% of the GDP of 2018 [30]. It is also necessary to mobilize national budgets and private capital. In order to support the bioeconomic processes, it is appropriate to

approach the issues related to sustainability, the sustainable financing of the European economy, and sustainable banking activities at European level in a convergen<sup>t</sup> way.

Among the risks and uncertainties that may affect the bioeconomic processes, the following must be mentioned:


The European Commission has set up a High-Level Expert Group (HLEG on Sustainable Finance) [32] with a mandate to propose changes to the investment chain in order to build a sustainable financing strategy for the European Union economy (to "achieve economic prosperity in the long term, increasing social inclusion and reducing dependence on the exploitation of finite resources and the natural environment" [10]). The objective proposed by the mandate is ambitious, but realistic: Transforming Europe into the main pole for low-carbon global investments, resource efficiency, and circular economy; in conjunction with this are the two strategic objectives: The adoption of the 2030 Agenda for Sustainable Development [33] and the Paris Agreement 2015/16, which regulates measures to reduce carbon dioxide emissions [34].

At the European banking level [35] a number of proposals have been formulated that will stimulate and contribute to the debate of European institutions, regulators, and banks on how to increase sustainable activities, mobilize and redirect private financial flows to support such activities, develop new tools, and increase the number of eligible projects. A specific element in the proposals made is the recommendation of the development of a "sustainable finance support factor" [33,36] as part of the legislation on bank capital requirements in the European Union. It has been proposed that the EBA (European Banking Authority) should explore the possibility of introducing a justification factor for certain assets that are classified as sustainable under the EU taxonomy. Europe has identified an annual financial gap of over 180 billion EUR to finance the policies and investments needed to maintain global temperatures [33] in line with the objectives of the Paris Agreement. It is more than obvious that, without the private sector, this funding gap cannot be closed. Because about two-thirds of the European economy is bank-financed, banks play—and will continue to play—a key role in the transition to a sustainable future, acting as investors, capital providers, and capital intermediaries for "green packaging" of some projects, in order to be eligible for funding through:

• Bank financing for "green projects" with the development of specific indicators or rating models. Due to the consistent role of the banking system in financing the European economy, in accordance with the results of the empirical study and with the theme of research—bioeconomy and foreign food trade—some relevant considerations from the perspective of sustainable banking activities were added. According to the report by the GABV (Global Alliance for Banking on Values) [36], sustainable banks consistently deliver products, services and social, environmental, and financial "profits" to support the real economy. The focus of sustainable banks is simultaneously on three components: People, environment, and prosperity. They are anchored in the communities in which they operate, establish long-term relationships with customers, and manage long-term risks.

The products and services of sustainable banks are mainly oriented toward supporting smalland medium-sized enterprises (SMEs) and microfinance, agriculture (food production, organic farms, rural, and agro-finance), financing energy efficiency (green energy, innovative technologies, alternative energy), financing eco-housing and social housing, and financing of educational and cultural programs (schools, kindergartens, theatres, museums). It is to be mentioned that the development and knowledge of activities/principles promoted by sustainable banks, together with other alternative financing instruments and mechanisms (crowdfunding platforms [37], specialized private energy investment funds, innovative institutional investors specializing in innovative products) could contribute synergistically to the developed programs of authorities and the orientation of financial and educational resources towards supporting bioeconomy at the European level.

• The technical support offered to obtain financing through capital markets, through the issuance of variable/fixed income securities for the financial support of "green projects".

Associations between international financial institutions, development banks, international banks, and local banks in the form of international networks—for example, the SBN (Sustainable Banking Network) operating in over 38 countries, with members of financial-banking institutions with assets of approximately 43 trillion USD [38]—lead to the promotion of sustainable financing as a global priority and to the transformation of the financial sectors/markets in which they operate. In addition, the efforts of coagulation and convergence in order to support the gradual transition to the bioeconomy were also made at the level of central banks, regulators, and supervisors. The Network for Greening the Financial Sector (NGFS) [39], which includes 46 members—central banks and financial supervisory authorities—emphasizes, at the level of the portfolios held, making socially responsible investments, managing the ESG risks (Environment, Social, Governance) related to the transition to the bioeconomy, and the development of scoring systems/new indicators that reflect the transition to a sustainable economy. The partnership between the bioeconomy and foreign trade with food products within the "green economy", together with the entire value chain that contributes to obtaining food, harmonized with the new technological context, must also be supported at the microeconomic level. Regional cooperation, especially in the agricultural field, between investment funds and small entrepreneurs, family associations, and authorized individuals contributes to the transformation of life and work, enhancing the connection between them, increasing the degree of innovation, and increasing social inclusion [40].

The future evolution of the bioeconomy will influence and will be influenced by public support and attitudes in the process of change [41]. The synergistic co-interest of all "actors" through harmonized, individual, and collective contributions can lead to the implementation and realization of this complex process of transition from the linear economy to the bioeconomy at the level of Europe.

This study adds to the existing literature by connecting the analysis of macroeconomic policies with the results of the empirical study and with potential guidelines for future policies. The study presents results and various influences between the analyzed factors in the short term, providing explanations and correlations for the long term trends as well.

This study advances the understanding in the complex topic of bioeconomy, providing an integrated approach for the reader. The approach explains and presents the relationships between the components of foreign trade in food products and macroeconomic variables, the various forms of financial support and mechanisms, and the newest established networks of financial institutions, focused on supporting the development of bioeconomy and its essential factors. Those correlations, together with the presentation of risks that may affect bioeconomic processes, offer a better understanding of the future mix of policies developed by authorities. The references included in the study offer a broad, up-to-date perspective with high relevance for the object of the research.
