The app sector in the European Union (EU) could add 63 billion euros and nearly 5 million jobs to the economy of the 28-nation bloc by 2018, according to a new report presented in Brussels on Thursday.

Today the EU’s app economy employs 1.8 million people, but this is set to rise 167 percent, to 4.8 million by 2018, a study, carried out by GIGAOM for the European Commission showed.

EU buyers and advertisers spent 6.1 billion euros ($8.34 billion) on apps in 2013, which is set to grow to 18.7 billion euros in 2018. This will be driven by spending on paid apps, which although set to decline, will be offset by in-app purchasing such as buying additional content for games.

Further consumer spending along with increased advertising and contract work could lead to 63 billion euros in annual revenue for the app sector within five years, up 260 percent from 17.5 billion euros today, , the report says.

(Read more: Can Europe compete with U.S. tech startups?)