The Council of Europe Development Bank (CEB) and the European Commission mobilize 159 million euros in the new InvestEU programme
The European Commission signed together with the Council of Europe Development Bank (CEB) an InvestEU guarantee agreement worth 159 million euros that will raise the mobilized loans for the programme up to 500 million euros, which will be destined to social projects.
CEB Governor, Carlo Monticelli, and the European Commissioner for Economy, Paolo Gentiloni, signed the guarantee agreement on the 28th of November marking a new milestone in the framework of the investment programme since this is the first time that InvestEU supports the funding of a multilateral development bank that proposed an exclusively social mandate.
The agreement brings together all financial instruments foreseen at the EU level to support the realization of strategic investments for the Union's growth, with a particular focus on social investments and sustainable infrastructure. According to the agenda, it is expected that the first operations will be approved over the course of 2023.
The portfolio of projects covered by this InvestEU guarantee will include an extended number of areas from education, employment and health care to flood protection, and water and wastewater services, but also will give particular attention to the social and economic inclusion of vulnerable groups and gender equality.
“InvestEU is set to play an important role in mobilizing the investments needed to achieve the EU's broader objectives over the coming years" said the EU Commissioner, Paolo Gentiloni.
It is well known by now that the InvestEU programme was created to support European Union’s Member States by providing long-term funding, and mobilizing public and private funds in order to keep a sustainable and green recovery. This agreement will moreover provide an EU budgetary guarantee to implementing partners to increase their risk-taking capacity.
“By combining the EU guarantee with the CEB´s financing and expertise, we will become even more effective partners of our member countries in their response to today’s daunting social challenges", said Carlo Monticelli, CEB's Governor.
The CEB has 42 Member States and represents a major instrument of the policy of solidarity in Europe. Since its inception, CEB has provided loans and guarantees to finance selected social projects that promote inclusive growth. Its potential borrowers include governments, local or regional authorities and financial institutions.