Activities of Ivailo KALFIN related to 2010/0101(COD)
Plenary speeches (3)
EU guarantee to the EIB against losses under loans and guarantees for projects outside the EU (debate)
EU guarantee to the EIB against losses under loans and guarantees for projects outside the EU (debate)
EU guarantee to the EIB against losses under loans and guarantees for projects outside the EU (A7-0019/2011, Ivailo Kalfin) (vote)
Reports (2)
RECOMMENDATION FOR SECOND READING on the Council position at first reading with a view to the adoption of a decision of the European Parliament and of the Council granting an EU guarantee to the European Investment Bank against losses under loans and loan guarantees for projects outside the Union and repealing Decision No 633/2009/EC PDF (178 KB) DOC (123 KB)
REPORT on the proposal for a decision of the European Parliament and of the Council granting an EU guarantee to the European Investment Bank against losses under loans and guarantees for projects outside the European Union PDF (719 KB) DOC (754 KB)
Amendments (31)
Amendment 58 #
Proposal for a decision
Recital 1
Recital 1
(1) In addition to its core mission of financing investment in the European Union, the European Investment Bank (EIB) has since 1963 undertaken financing operations outside the European Union in support of the EU's external policies. This allows the EU budget funds available to the external regions to be complemented by the financial strength of the EIB for the benefit of beneficiary countries. In so doing, the EIB contributes both to the development of third countries and to the EU’s prosperity in the changed global economic circumstances. The EIB operations in support of the Union's external policies must continue to be conducted under the principles of sound banking practices.
Amendment 59 #
Proposal for a decision
Recital 8
Recital 8
(8) In addition to the regional ceilings, the optional mandate of EUR 2 000 000 000 should be activated and allocated as an envelope to support EIB financing operations in the field of climate change mitigation and adaptation across the regions covered by the mandate. The EIB could contribute with its expertise and resources, in close cooperation with the Commission, to support public authorities as well as the private sector to address the challenge of climate change and to make the best possible use of available financing. For mitigation and adaptation projects, the resources of the EIB should be complemented whereas far as possible with concessional funds available under the EU budget, through the efficient and consistent blending of grants and loans for climate change financing in the context of EU external assistance. In this regard, it is appropriate that the Commission's annual report to the European Parliament and the Council should contain a detailed report on the financial instruments used for financing these projects, identifying the amounts of guarantees under the optional mandate and the corresponding amounts of grants.
Amendment 60 #
Proposal for a decision
Recital 8 a (new)
Recital 8 a (new)
(8a) The eligibility of countries where the EIB finances climate-change mitigation under the EU guarantee could be restricted for countries that are deemed by the Council not committing to appropriate climate change-related targets.
Amendment 61 #
Proposal for a decision
Recital 9
Recital 9
(9) Some flexibility on regional allocation under the Climate Change Mandate should be provided to allow for the fastest and most effective possible uptake of available financing within the 3-year period 2011- 2013. In the event that the total amount of financing operations under consideration would exceed the available EUR 2 billion, the Commission and the EIB should strive to ensure, while ensuring a balanced distribution across the regions covered, the period based on the established priorities for external aid under the General Mandate.
Amendment 62 #
Proposal for a decision
Recital 11
Recital 11
(11) In order to enhance the coherence of the mandate, strengthen the focus of the EIB external financing activity on supporting EU policies, and for the maximum benefit of beneficiaries, this decision should set out horizontal high- level objectives in the mandate for EIB financing operations across all eligible countries, building on the comparative strengths of the EIB in areas where it has a well-proven track record. In all regions covered by this decision, the EIB should thus finance projects in the areas of climate change mitigation and adaptation, social and economic infrastructure (notably in transport, energy including renewable energy, energy security, energy infrastructure, environmental infrastructure including water and sanitation, as well as information and communication technology (ICT)), and local private sector development, in particular in support of small and medium- sized enterprises (SMEs). It should be recalled that improving access for SMEs to capital can play an essential role in stimulating economic development and the fight against unemployment. Within these areas, regional integration among partner countries, including economic integration between pre-accession countries, neighbouring countries and the EU, should be an underlying objective for EIB financing operations. The EIB can support EU presence in partner countries through foreign direct investment that contributes to promoting technology and knowledge transfer either under the EU guarantee for investments within the aforementioned areas or at its own risk.
Amendment 64 #
Proposal for a decision
Recital 12
Recital 12
(12) Moreover generally, EIB financing operations should contribute to the general principles guiding the EU's external action, as referred to in Article 21 of the Treaty on the European Union, of promoting and consolidating democracy and the rule of law, human rights and fundamental freedoms, and to the implementation of international environmental agreements to which the EU is a party. In relation to developing countries9 in particular, EIB financing operations should foster: sustainable economic, social and environmental development of these countries, particularly in the most disadvantaged amongst them; their smooth and gradual integration into the world economy; the campaign against poverty; as well as compliance with objectives approved by the EU in the context of the United Nations and other competent international organisations. The EIB should gradually build up appropriate, thus striving to achieve the underlying objective of reducing poverty. The EIB should promote equal access to financial services, in particular for disadvantaged groups such as minorities, farmers and women. In order to adequately meet these requirements, the Council and the EIB governing bodies should guarantee an increase in EIB resources and staff within a reasonable time, and should substantially build up means to adequately meet these requirements.
Amendment 66 #
Proposal for a decision
Recital 13
Recital 13
(13) UWhile the EIB's strength remains its distinctiveness as an investment bank, under this decision, the EIB should increase itsframe the development orientimpact of its external operations in close coordination with the Commission and following the principles of the European Consensus on Development and those set out in Article 208 TFEU, as well as the principles of aid effectiveness outlined in the Paris Declaration of 2005 and the Accra Agenda for Action of 2008. This should be implemented through a number of concrete measures, in particular by reinforcing its capacity to appraise environmental, social and development aspects of projects, including human rights and conflict related risks, and by promoting local consultation with public authorities and civil society. When making due diligence of the project, the EIB should take into consideration the results of local consultations, carried by the project promoter. The results from the local consultations should be disclosed to the public. Moreover, it should increase its focus on sectors where it has sound expertise from financing operations within the EU and which will further the development of the country in question, (such as, inter alia, access to financial services for SMEs and micro-entities), environmental infrastructure including water and sanitation, sustainable transportation and climate change mitigation, particularly in renewable energy. Financing could also include projects in support of health and education, particularly in the area of vocational training and infrastructure, when there is clear added value. The EIB should also progressively strengthen its activity in support of health and education as well as of climate change adaptation, where appropriate working in cooperation with other International Finance Institutions (IFIs) and European bilateral finance institutions (EBFIs). This will require access to concessional resources and a progressive increasen increase, within a reasonable period, in human resources devoted to EIB external activities. EIB activity should also be complementary to EU objectives and priorities relating to institution building and sector reforms. Finally, the EIB should define performance indicators which are linked to development aspects of the projects and their results.
Amendment 69 #
Proposal for a decision
Recital 21
Recital 21
(21) With a view to enhancing the coherence of overall EU support in the regions concerned, opportunities should be sfoughtnd to combine EIB financing with EU budgetary resources when and as appropriate, in the form e.g. of guarantees, risk capital and interest rate subsidies, investment co-financing, alongside technical assistance for project preparation and implementation, through the IPA, the ENPI, the Instrument for Stability, the EIDHR and the DCI. Whenever such a combination of EIB financing with other EU budgetary resources occurs, all financing decisions should clearly identify the resources to be engaged. The Commission's annual report to the European Parliament and the Council on EIB financing operations carried out under this Decision should contain a detailed breakdown of the budgetary resources and financial instruments used in combination with the EIB financing.
Amendment 70 #
Proposal for a decision
Recital 24
Recital 24
(24) The EIB should prepare, in consultation with the Commission, an indicative multi-annual programme of the planned volume of signatures of EIB financing operations, so as to ensure appropriate budgetary planning for provisioning the Guarantee Fund and to ensure compatibility of the EIB’s forecast financing with the ceilings established in this Decision. The Commission should take account of this plan in its regular budget programming transmitted to the budgetary authority.
Amendment 71 #
Proposal for a decision
Recital 25
Recital 25
(25) The Commission should study the developmentpropose, on the basis of the existing positive experience, the implementation of an ’"EU platform for cooperation and development’" with a view to optimising and rationalising the functioning of mechanisms for theincreased blending of grants and loans in the external regions. In its reflections the Commission should consult the EIB, the EBRD as well as the other European multilateral and bilateral finance institutions. For this purpose the Commission will create a working group composed of Member State representatives, Members of the European Parliament, EIB and other European multilateral and bilateral finance institutions. Such a platform wshould continue to promotepromote, under the direction of the Commission, synergies, concerted programming, mutual reliance arrangements, based on the comparative advantage of the different institutions while respecting the role and prerogatives of the EU institutions in the implementation of the EU budget and of EIB loansthe financing institutions' loans. Such a platform will be particularly useful when financing development-oriented projects or projects countering climate change.
Amendment 74 #
Proposal for a decision
Recital 26
Recital 26
(26) The EIB should be encouraged to increase its operations and to diversify its financial instruments outside the EU without recourse to the EU guarantee in ordso that use of the guarantee can be encouraged for countries and projects with the poorest access to the market and where to supporthe guarantee therefore provides higher added value. Consequently, and always with the aim of supporting the objectives of the EU's external policy objectivesrelations policy, the EIB should increase the amounts loaned at its own risk, particularly in pre-accession countries and neighbourhood countries and in investment grade countries in other regions, but also in sub-investment grade countries and providing sub-sovereign lending when the EIB has the appropriate third party guarantees. In consultation with the Commission, the EIB should develop a policy for deciding between the allocation of projects to either the mandate under EU guarantee or to EIB own risk financing. Such a policy would notably take into account the creditworthiness of the countries and projects concerned. When the external mandate is renewed for the post-2013 period, this policy should be reviewed and the list of countries eligible under the guarantee re-examined taking into account the implications on the provisioning of the Guarantee Fund for External Action .
Amendment 75 #
Proposal for a decision
Recital 29 a (new)
Recital 29 a (new)
(29a) In the countries of common intervention, the EIB and the EBRD should improve their cooperation. The modalities for the implementation of EIB financing in the Eastern Neighbourhood and Partnership countries, Russia, Central Asia and Turkey are set out in tripartite Memoranda of Understanding between the Commission, the EIB and the European Bank for Reconstruction and Development. Not only should these memoranda prevent the EIB and the EBRD competing with each other, they should allow them to act in a complementary way by maximising their respective comparative advantages. The memoranda should also provide for convergence of their procedures within a reasonable period. Consideration should be given to establishing closer links over time between these two banks with majority European capital, with a view to optimising the European external action financing instruments.
Amendment 76 #
Proposal for a decision
Recital 30
Recital 30
(30) The reporting and transmission of information by the EIB to the Commission should be strengthened in order to allow the Commission to enhance its annual report to the European Parliament and the Council on the EIB financing operations carried out under this decision. The report should in particular assess the compliance of EIB financing operations with this decision, taking into account the operational guidelines, and include sections on added value in line with EU policies and sections on cooperation with the Commission, the EBRD, other IFIs and bilateral donors, including co-financing. Where necessary, the report should include references to significant changes in circumstances that would justify further amendments to the mandate before the end of the period. , as well as evaluations of the accessibility, transparency and efficiency of the loans. The report should also assess the extent to which the EIB has taken into account economic, financial, environmental and social sustainability in the design and monitoring of the projects financed. It should also contain a specific section devoted to a detailed evaluation of the measures taken by the EIB to comply with the provisions of the current mandate, paying particular attention to EIB operations using financial vehicles situated in offshore financial centres. In its financing operations the EIB should ensure that its policies towards weakly regulated or uncooperative jurisdictions, including tax havens, are adequately implemented to contribute to the international fight against tax fraud and tax evasion. The report should include an appraisal of social and development- related aspects of projects. The report should be made public, thus allowing opinions by relevant NGOs and recipient countries. Where necessary, the report should include references to significant changes in circumstances that would justify further amendments to the mandate before the end of the period. This report should in particular include a detailed breakdown of EIB financing under this Decision in combination with all EU financial resources and other donors, thus giving a detailed overview of the financial exposure of financing operations.
Amendment 78 #
Proposal for a decision
Article 2 – paragraph 4
Article 2 – paragraph 4
4. The Climate Change Mandate shall cover EIB financing operations in all countries covered by this decision, where such EIB financing operations support the key EU policy objective of tackling climate change by supporting projects in climate change mitigation and adaptation which contribute to the overall objective of the United Nations Framework Convention on Climate Change (UNFCCC), in particular by avoiding or reducing greenhouse gas emissions in the areas of renewable energy, energy efficiency and sustainable transport, or by increasing resilience to the adverse impacts of climate change on vulnerable countries, sectors and communities. The Climate Change Mandate shall be implemented in close cooperation with the Commission, combining whereas far as possible and appropriate EIB financing with EU budget funds. The eligibility of countries where the EIB finances climate-change mitigation under the EU budget fundguarantee could be restricted for countries that are deemed by the Council not committing to appropriate climate change-related targets.
Amendment 80 #
Proposal for a decision
Article 2 – paragraph 5
Article 2 – paragraph 5
5. For the Climate Change Mandate, the EIB shall nevertheless endeavour to ensure a balanced distribution of financing operations signed across the regions covered by Annex II of this decision, by the end of the period referred to in Article 1(4). In particular, the EIB will ensure that the region referred to under point A of Annex II does not receive more than 40% of the amount allocated to this Mandate, the region under point B not more than 50%, the region under point C not more than 30% and the region under point D not more than 10%. Generally, the Climate Change Mandate shall be used to finance projects that are closely related to the EIB’s core competences, that add value and that maximise the effect on adaptation and mitigation of climate change.
Amendment 81 #
Proposal for a decision
Article 2 – paragraph 5 a (new)
Article 2 – paragraph 5 a (new)
5a. Both the General Mandate and the Climate Change Mandate shall be managed under the principles of sound banking practices.
Amendment 82 #
Proposal for a decision
Article 3 – paragraph 1 – introductory part
Article 3 – paragraph 1 – introductory part
1. The EU guarantee shall be granted for EIB financing operations which support any of the following general objectives:
Amendment 83 #
Proposal for a decision
Article 4 – paragraph 4
Article 4 – paragraph 4
4. In the event of serious concerns over the political or economic situation and policies in a specific country, the European Parliament and the Council may decide to suspend new EIB financing under EU guarantee in that country in accordance with the ordinary legislative procedure.
Amendment 84 #
Proposal for a decision
Article 5 – paragraph 1
Article 5 – paragraph 1
1. The Commission shall develop, together with the EIB and the EEAS, regional operational guidelines for EIB financing under this decision. In drawing up these guidelines the Commission and the EIB will consultshall work together with the European External Action Service (EEAS) on policy issues, as appropriate falling within its remit. The operational guidelines aim to ensure that EIB financing supports EU policies, and shall take as a starting point the wider EU regional policy framework set by the Commission and the EEAS, as appropriate. NotablyFurthermore, the operational guidelines will ensure that EIB financing is complementary to corresponding EU assistance policies, programmes and instruments in the different regions, taking into account European Parliament resolutions and Council decisions and conclusions and the European Consensus on Development. The Commission will informshall report to the European Parliament and the Council ofn the guidelines established. Within the framework set out by the operational guidelines, the EIB shall define corresponding financing strategies and ensure their implementation.
Amendment 85 #
Proposal for a decision
Article 6 – paragraph 1 – subparagraph 1
Article 6 – paragraph 1 – subparagraph 1
1. The EIB shall carry out thorough due diligence, verifying the presence of appropriate local public consultation, on development-related aspects of projects covered by the EU guarantee. The EIB's own rules and procedures shall include the necessary provisions on assessment of environmental and social impact of projects and of aspects related to human rights, to ensure that only projects that are wholly economically, financially, environmentally and socially sustainable are supported under this Decision. The Commission shall include on an aggregate basis in the annual report to the European Parliament and the Council an assessment of the development dimension of the activities of the EIB, based on the due diligence carried out for the projects. Where appropriate, the appraisal shall assess how the capacities of the beneficiaries of EIB financing can be reinforced throughout the project cycle with technical assistance.
Amendment 86 #
Proposal for a decision
Article 6 – paragraph 1 – subparagraph 1
Article 6 – paragraph 1 – subparagraph 1
1. The EIB shall carry out thorough due diligence, verifying the presence of appropriate local public consultation, on development-related aspects of projects covered by the EU guarantee. The EIB's own rules and procedures shall include the necessary provisions on assessment of environmental and social impact of projects and of aspects related to human rights, to ensure that only projects that are wholly economically, financially, environmentally and socially sustainable are supported under this Decision. The Commission shall include in the annual report to the European Parliament and the Council on the activities of EIB information on the development dimension of the EIB operations, drafted on the basis of the due diligence reports carried out through the year. Where appropriate, the appraisal shall assess how the capacities of the beneficiaries of EIB financing can be reinforced throughout the project cycle with technical assistance. The EIB shall amend its rules and procedures to allow these new tasks.
Amendment 88 #
Proposal for a decision
Article 6 – paragraph 2
Article 6 – paragraph 2
2. In addition to the ex-ante assessment of development-related aspects, the EIB should strengthen itsall require the project promoters to carry out thorough monitoring during project implementation and completion, inter alia, on the development impact of the project, environmental and human rights impact of the project. The monitoring shall include, where possible, the performance of financial intermediaries in support of SMEs. The results of monitoring shall be disclosed.
Amendment 90 #
Proposal for a decision
Article 6 – paragraph 2 a (new)
Article 6 – paragraph 2 a (new)
2a. The EIB shall submit to the Commission annual reports assessing the estimated development impact of the operations financed during the year. The reports shall be based on the EIB development criteria as laid down in Article 6(1). The Commission shall present the development reports of EIB to the European Parliament and the Council in the framework of the annual reporting exercise provided for in Article 10 and make them public, so that interested stakeholders, including NGOs and recipient countries, are also able to express their positions on the matter. The European Parliament shall discuss the annual reports, taking into consideration the opinions of all interested parties.
Amendment 91 #
Proposal for a decision
Article 8 – title
Article 8 – title
Cooperation with other internationalpublic financialng institutions
Amendment 92 #
Proposal for a decision
Article 8 – paragraph 2 a (new)
Article 8 – paragraph 2 a (new)
2a. The Commission shall propose, on the basis of the existing positive experience, the implementation of an "EU platform for cooperation and development" with a view to optimising and rationalising the functioning of mechanisms for increased blending of grants and loans in the external regions. In its reflections the Commission shall consult the EIB, the EBRD and the other European multilateral and bilateral finance institutions. For this purpose the Commission shall create a working group composed of Member State representatives, Members of the European Parliament, EIB and other European multilateral and bilateral finance institutions.
Amendment 95 #
Proposal for a decision
Article 10 – paragraph 1
Article 10 – paragraph 1
1. The Commission shall report annually to the European Parliament and the Council on EIB financing operations carried out under this decision. The report shall include an assessment of EIB financing operations at project, sector, country and regional level as well as, of the implementation of the EIB's practices with regard to accessibility, transparency and efficiency of the loans, as well as an assessment of the contribution of the EIB financing operations to the fulfilment of the external policy and strategic objectives of the EU. The report shall provide a summary of the on going projects. The report shall in particular assess the compliance of EIB financing operations with this Decision, taking into account the operational guidelines referred to in Article 5, and shall include sections on added value for the achievement of EU policy objectives as well as on cooperation with the Commission and other international financial institutions and bilateral institutions, including co-financingon the assessment of the estimated development impact and the extent to which the EIB has taken into account environmental and social sustainability in the design and monitoring of the projects financed as well as on cooperation with the Commission and other international financial institutions and bilateral institutions, including co-financing. Moreover, the EIB shall continue to provide to the European Parliament, Council and Commission all its independent evaluation reports which assess the practical results achieved by the specific activities of the EIB under the external mandates. The reports shall also contain an assessment of the EIB's human and material resources policy relating to its activities outside the Union.
Amendment 96 #
Proposal for a decision
Article 10 – paragraph 2
Article 10 – paragraph 2
2. For the purposes of paragraph 1, the EIB shall provide the Commission with yearly reports on EIB financing operations carried out under this decision at project, sector, country and regional level and on the fulfilment of the external policy and strategic objectives of the EU, including cooperation with the Commission, other international financial institutions and bilateral institutions as well as a development impact assessment report, as referred to in Article 6. Any Memoranda of Understanding between the EIB and other IFIs or bilateral institutions relating to carrying out financial operations under this Decision shall be disclosed.
Amendment 97 #
Proposal for a decision
Article 10 – paragraph 5 a (new)
Article 10 – paragraph 5 a (new)
5a. Failure to comply with the reporting requirements laid down in this Article shall lead to an obligation of the EIB to cure and not to a loss of EU guarantee cover.
Amendment 98 #
Proposal for a decision
Article 10 a (new)
Article 10 a (new)
Article 10a Non-cooperative jurisdictions In its financing operations, the EIB shall not tolerate any activities carried out for illegal purposes, including money laundering, terrorism financing, tax fraud and tax evasion. In particular the EIB shall not participate in any operation implemented through a non-cooperative jurisdiction, as identified by the OECD, the Financial Action Task Force (FATF) and other relevant organisations.
Amendment 101 #
Proposal for a decision
Article 10 b (new)
Article 10 b (new)
Amendment 103 #
Proposal for a decision
Article 14
Article 14
The Commission shall present to the European Parliament and the Council a final report on the application of this decision by 31 October 2014.