Memo: Europe 2020 Project Bond Initiative: Frequently asked questions

In October 2011, the European Commission proposed the creation of project bonds for infrastructure investment, as a new tool to unlock private funding. On 5 July 2012, the European Parliament adopted the proposal for a pilot phase of the Project Bond Initiative.

This initiative marks another building block in the European Commission's actions to revive growth through investment in the European Union. The basic principle underpinning this initiative is a better use of public banks. In the case of the European Union, this is the European Investment Bank (EIB). The EIB and the EU budget can be used more effectively to achieve major leverage through limited risk-sharing with private investors.

• Primary Source

European Commission: MEMO/12/526: President Barroso and Vice-President Rehn welcome the European Parliament's final vote on Project Bonds http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/12/526&format=HTML&aged=0&language=EN&guiLanguage=en

ESO: Background information: Diplomats back EU ‘project bonds’ plan http://www.europeansources.info/record/diplomats-back-eu-project-bonds-plan/

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