Transcript European Investment Bank: Guy Clausse (Director Projects

EUROPEAN INVESTMENT BANK
Promoting European objectives
The Danube Strategy Implementation and Financing High Level Meeting
Financing possibilities by the EIB
Belgrade, 27th September 2010
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European Investment Bank
G. Clausse
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Danube River
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The European Investment Bank (EIB)
Long-term finance promoting European objectives
European Union’s long-term lending bank set
up in 1958 by the Treaty of Rome.
Shareholders: 27 EU Member States
Governance
Board of Governors – EU Finance Ministers
Board of Directors - Member States & European
Commission
Management Committee –EIB’s executive body
Audit Committee – independent, non-resident
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The European Investment Bank (EIB)
European priority objectives
Within the Union:
Cohesion and convergence
Small and medium-sized enterprises (SMEs)
Environmental sustainability
Knowledge Economy
Trans-European Networks (TENs)
Sustainable, competitive and secure energy
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The European Investment Bank (EIB)
Under EU Mandates:
Pre-Accession
Candidate Countries: Croatia, Turkey and Former
Yugoslav Republic of Macedonia
Potential Candidate Countries – Western Balkans
European Neighbourhood
Mediterranean Partner Countries
Russia and Eastern Neighbours
Development
Africa, Caribbean and Pacific
Asia and Latin America
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EIB lending in 2009 (in EUR)
∑ = EUR 79 bn
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Loan signatures in the EU in 2009 (EUR m)
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EIB borrowing activity
Total borrowing in 2009: EUR 79.4bn
262 bond issues across 22 currencies (including 3 in
synthetic format)
Largest supranational borrower
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EIB lending 1958-2009
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EIB Capital Increases and Outstanding Loans
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The EIB project cycle
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Value Added
Value added of the Bank’s lending activities:
Support for EU priority objectives
Project quality and soundness
Financial benefits of EIB funds
Technical assistance (incl. JASPERS)
Project assessment
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The EIB
Board of
Governors
27 members
Audit
Committee
Board of
Directors
28 directors
18 alternates
+ 6 experts
Management Committee
EIB Group
Compliance Office
IG
Inspectorate
General
SCC
President
8 Vice-Presidents
OCCO
SG-JU
Strategy and
General
Corporate Centre Secretariat
Legal
Affairs
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RH
Human
Resources
Ops A
Operations
in the
European
Union and
Candidate
Countries
Ops B
FI
PJ
RM
TMR
Operations Finance
Projects
Risk
Transaction
outside the Directorate Directorate Management Management
European
Directorate
and
Union and
Restructuring
Candidate
Countries
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EIB Lending in Danube Region Member States
EIB’s six priority lending objectives overlap with the three main thematic
areas of the Danube Sea Strategy
Signatures EUR 7,6 m in 2008 and EUR 11,8 m in 2009
EIB borrowers are:
(i) Public sector entities: Sovereign MSs, regions, municipalities and other subsovereign public entities
(ii) Private sector entities: leading corporates in all countries requiring financing for
their capex and R&D investments
(iii) Financial institutions as a intermediaries for EIB’s Loan dedicated to SMEs and
Mid-Cap Loans
In Austria, Hungary, Germany and also the Czech Republic, a large
proportion of EIB lending goes to the private sector (knowledge economy
and RDI)
In Bulgaria, the Czech Republic, Hungary, Slovakia, Bulgaria and Romania,
the main emphasis is on (i) the public sector through loans to meet the
national co-financing requirements for the implementation of the EU Funds
supported project and (ii) major capital expenditure projects to enhance
Cohesion and Convergence
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EIB Lending in the Danube Region in 2007-2009
SIGNATURES
MEMBER STATES
Austria
Bulgaria
Czech Republic
Germany (1)
Hungary
Romania
Slovakia
Slovenia
BALKANS
Bosnia & Herzegovina
Croatia
Montenegro
Republic of Serbia
THIRD COUNTRIES
Ukraine
Moldova
TOTAL
1)
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2007
2008
2009
1,070.00
1,108.00
1,599.00
1,864.00
1,217.00
175.00
18.00
613.00
1,318.00
455.00
1,111.00
900.00
1,525.00
1,112.00
161.00
159.00
1,926.00
174.00
1,860.00
1,895.00
1,889.00
1,473.00
366.00
538.00
271.70
330.00
3.20
143.70
260.00
170.00
50.00
257.00
153.00
415.00
111.00
896.50
200.00
30.00
8,642.60
150.00
20.00
7,648.00
100.00
0.00
11,796.50
Länder of Baden-Württemberg and Bavaria
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Cohesion Policy 2007-2013
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Convergence regions
Phasing-in Regions
Phasing-out Regions
Competitiveness and Employment Regions
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Convergence Lending
Leverage – lending, expertise and partnership
Co-financing with EU Structural Funds – funding the national or
regional contribution
ERDF, Cohesion Fund, ESF
Individual (large) projects
Sectoral or regional operational programmes
Entire NSRF
Financial Engineering
JESSICA
JEREMIE
(RSFF, LGTT) …
TAC (Technical Advisory + Cooperation)
JASPERS
Other TAC by EIB
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Co-financing with EU Structural Funds
Co-financing with EU Structural Funds – funding the national or
regional contribution
The EIB has concluded a number of Structural Programme
Loans in Bulgaria, the Czech Republic, Hungary, Romania and
Slovakia to co-finance the Operational Programmes
Examples: NSFR Co-financing Facility (Romania) for
EUR 1.0bn signed on 24 November 2008: supports the
implementation of Romania’s 2007-2013 National Strategic
Reference Framework and the Slovakia NDP Framework Loan II
for EUR 1.3bn (approved). A similar Bulgarian operation, (EUR
700m) was signed in 2007.
Sectoral / regional programme loans in the Czech Republic and
Hungary.
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Project Examples
OEBB WIEN HAUPTBAHNHOF TEN
Construction of the new main railway station in Vienna, at the junction of Priority TEN-T railway
corridors 17 (Paris-Vienna-Bratislava), 22 (Nürnberg/Dresden-Prague-Vienna-BudapestAthens/Constanta) and 23 (Gdansk-Warszawa-Brno/Bratislava-Wien).
Loan: EUR 400m
SOFIA METRO PROJECT
The operation would take the form of a framework loan for the co-financing, together with the
European Commission, of Sofia's investment programme including the extension of the metro
and the upgrading of the road network.
Loan: EUR 105m
VERBUND STYRIA HV TRANSMISSION TEN
The project concerns the construction and operation of a 98km 380kV high voltage electricity line
between Burgenland and Graz in Austria. It has been identified as priority TEN-e project of
European interest.
Loan: EUR 100m
MOLDOVA CHISINAU AIRPORT
Technical Assistance to the Promoter for investments in airside infrastructure at Chisinau Airport,
including runway and taxiway rehabilitation, passenger apron expansion and reconstruction,
provision of airside support equipment and expansion of arrival and departure halls
Loan: EUR 20m
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JASPERS Technical Assistance Partnership in the Danube Region
Summary of JASPERS assignments in the Danube Region
(early 2010)
Country
Bulgaria
Czech Republic
Hungary
Romania
Slovakia
Slovenia
Total
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Active
assignments
Completed
assignments
51
49
23
110
32
9
274
10
19
27
40
9
17
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JASPERS Technical Assistance Partnership in the Danube Region
Examples of JASPERS assignments in 2009 include:
Bulgaria – Trakia, Maritza and other major motorways, Sofia solid waste
management, Gabrovo and Vratza wastewater, River navigation, Burgas
urban transport, energy efficiency in schools
Czech Republic – Major railway infrastructure and road schemes, Čistá
Berounka water project, clean-up and recultivation of Diamo site in
Mydlovary, Prague Metro, research and development
Hungary – Provincial urban transport, Budapest metro, Mecsek-Dráva solid
waste
Romania – Motorways and TEN T schemes, river navigation, multimodal
terminals, waste management in Bistrita, flue gas desulphurisation at
Craiova power plant, regionalisation of water companies, district heating in
Timisoara, Iasi and Bacau, broadband provision in rural areas
Slovakia – Motorway and expressway schemes, water supply and
treatment
Slovenia – A2 motorway, reconstruction/electrification of Pragersko-Hodos
line, flood protection, regional waste management centre in Ljubljana
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EIB Lending in Danube Region to
non-Member States (1)
EIB financing in the Western Balkans (WB)
Loans signed in WB: over EUR 6 bn between 2000 and 2009
Lending to all countries in WB on the basis of the “Pre-accession
mandate” (EU budget guarantee) (EUR 8.7bn over 2007-2013)
and at EIB’s own risk under the “Pre-Accession” Facility (EUR
5.5bn over 2007-2013)
Objective: foster economic development and integration process
in the EU
Sector focus: modernisation and upgrading of national
infrastructure, diversified support to human capital, SMEs, local
authorities
Launched with the Commission, Council of Europe Development
Bank and EBRD: the Western Balkans Investment Framework in
December 2009
Provision of a joint grant and lending facility for priority investments
Objective: simplify access to credit by pooling and coordinating
different sources of finance & technical assistance
Sector focus: infrastructure sectors, small businesses, energy
efficiency
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EIB Lending in Danube Region to
non-Member States (2)
EIB Financing in the EU’s Eastern Neighbours
Lending to Ukraine, Moldova, Armenia, Azerbaijan, Georgia and
Russia under EU mandate (EUR 3.7bn over 2007-2013) and under
the EIB facility (Eastern Partners Facility (EPF), up to EUR 1.5bn)
Loans approved and signed in Eastern Partner Countries: EUR 1.3
bn between 2007 and 2009
Objective: priority to projects on extended major Trans European
Network axes, projects with cross-border implications for one or
more Member States and major projects favouring regional
integration through increased connectivity. For energy, focus on
strategic energy supply and energy transport projects. But also
environment, SMEs.
Sector focus: from basic infrastructure and environment to SMEs and
investment by European corporates -> expanding sector coverage
through EIB facility (EPF)
Co-financing with IFIs and local banks
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Examples of EIB Projects - the Water Sector
Problems:
•
untreated wastewater
•
Agricultural run-off
•
Insufficient flood protection
•
(insufficient solid waste handling)
•
(locally poor drinking water)
Recent project examples:
Austria
Bulgaria
Czech Republic
Hungary
Montenegro
Romania
Most new EU
countries
member
Upgrading of Vienna’s main Wastewater Treatment Plant
Simmering
Sofia and Vratza, Gabrovo and Sliven regions, integrated water
management schemes
Flood Protection, investing into projects to mitigate flood risks
Construction of Wastewater Treatment Plant, Czepel Island
Support to first national sustainable waste management system
Constanta Port, Environmental Protection
Support to investments proposed under the CF 2007 – 2013
implementation period.
Moreover
•
Financing of projects specifically addressing adaptation to climate change significant experience has been gained in the water sector, particularly with
regards to flood management projects.
•
TA + grants/ loan blending within Western Balkans Investment Framework
•
Cooperation with ICPDR, DABLAS, RENA
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Examples of EIB Projects - the Navigation on the Danube
Problems:
• Sub-optimal use of Danube/ Sava waterways for transport
- remaining bottlenecks, notably in upper Danube
- shipping fleet needs modernisation
- traffic increase needs modern + more efficient ports + transhipment
sites
- insufficient cross-border cooperation + planning
• Danube as sensitive river ecosystem
Recent project examples:
Danube projects:
 Sulina canal bank protection: improvement of navigation conditions on the
Danube Delta – Romania – € 38M
 Danube Port of Lom: reconstruction and modernisation of port infrastructure
and equipment (Pan-European Corridor VII) – Bulgaria – € 17M
 Danube bridge: construction of a new combined (road and railway) bridge on
the Pan-European Corridor IV between Vidin (Bulgaria) and Calafat
(Romania) – Bulgaria – € 70M
 Košická Bridge Bratislava: construction of a new road bridge across the
Danube, together with connecting urban roads – Slovakia – € 45M
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Examples of EIB Projects - Navigation on the Danube
Other projects in the Danube region (selection):
Bosnia and Herzegovina – National roads - Banja Luka - Gradiska: construction of a
29 km long 4 lane motorway section between Banja Luka and Gradiska, and a bridge
over the river Sava - € 65M
Bulgaria – Trakia Motorway: construction of two motorway sections on Pan-European
Corridor VII between Sofia and Black Sea - € 100M
Romania – Roads rehabilitation V: Strengthening and upgrading of 745 km of National
Roads - € 240M; Roads rehabilitation VI - € 450M;
Serbia – Roads and bridges rehabilitation: rehabilitation of some 100 bridges - € 98M;
European Roads, incl. Beška bridge over Danube in Novy Sad - € 144M; Corridor X
Motorway (E75 Niš - FYROM) - € 384M
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Issues for an efficient
implementation of the Danube Strategy
 Starting with infrastructure to move to business development,
entrepreneurship and support to knowledge economy – but
important issues remain in terms of energy, transport and
environment (water, waste,…)
 Importance of strengthening institutional capability: from projects
origination to implementation; developing an integrated approach
addressing financial and non-financial needs
 Priority to be given to cross-border projects and interconnectivity
 Importance of promoting cooperation (between funding sources, MS
and non-MS), and exchange of information and best practices
 Importance of prioritising investment needs and avoiding
fragmentation
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Priorities for a successful Danube Strategy
Proper integration of the territorial dimension
Support to cross-border projects and inter-connection
within the Danube region, with a specific attention to
linking MS and non-MS countries
Focus on supporting economic competitiveness and
accession process for Candidate countries and potential
Candidate countries
Emphasis on strengthening cooperation between IFIs for
lending in non-MS and on supporting the emergence of
public private partnerships.
Focus on environment and sustainable production and
consumption of natural resources
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Quality
“good” projects
Life-cycle analysis
Best blending of funding sources and
funding architecture
Cross-border projects to avoid “missing
links”
 EIB has helped and continues to help
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For more information…
http://www.eib.org/
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