Investment Facility – Annual Report 2009

The European Investment Bank supports the European Union’s cooperation and development policies in the African, Caribbean and Pacific regions under the Cotonou Partnership Agreement between the EU and 77 African, Caribbean and Pacific (ACP) countries. The EIB manages the ACP Investment Facility, a €2,037m risk-bearing instrument financed from the European Development Fund and geared specifically to fostering private sector investment in the ACP countries.

In addition to the ACP Investment Facility, the Bank is currently authorised to lend up to a further EUR 1 700m to the ACP countries from its own resources. Such own resources lending in the ACPs, usually on a long-term basis, is guaranteed by the EU Member States.

Committed to helping countries weather the negative effects of the crisis, the Bank stepped up its support throughout 2009. Signed commitments during the year totalled €863m, providing assistance to 29 development projects in the ACPs and OCTs. Compared to 2008, own resources and Investment Facility lending rose by EUR 188m and EUR 124m respectively. Regional integration was encouraged, accounting for 41% of signed commitments.

The response to the crisis entailed taking – temporarily – more risks. However, by drawing on a wide range of available financial instruments and relying on selective, early-stage project screening and regular monitoring, the Bank managed to maintain a balanced portfolio.

In 2009 the EIB also increased its support for sustainable economic development in the Republic of South Africa, extending funding to four projects for a total of €280m

• Primary Source

EIB: Publications http://www.eib.europa.eu/infocentre/publications/index.htm

---