EIB Investments in Education outside the European Union Didier - - PowerPoint PPT Presentation
EIB Investments in Education outside the European Union Didier Bosman 13 December 2017 Corporate Presentation 2017 18/12/2017 1 Overview 1. EIB Group 2. EIBs Innovation & Skills programme 3. Education lending 4. Conditions for EIB
Didier Bosman 13 December 2017
18/12/2017 Corporate Presentation 2017 1
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developing regions
EIB’s 2015 Climate Strategy We are increasing our climate commitment:
economists and socio-environmental experts
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JOBS
4.4m jobs in small businesses
HEALTH
10m people with access to improved health services
EDUCATION
890 000 students benefiting from EIB projects
WATER
25m people benefiting from safe drinking water
TRANSPORT
960m additional passengers
ENERGY
4m households powered by EIB projects
URBAN
120 000 households in social and affordable housing
DIGITAL
11m people with new or upgraded connections
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EUR
EUR
EUR
EUR
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Shortfalls in human capital development
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knowledge-intensive manufacturing and related services, will generate a growing demand for young people with excellent post-secondary training and a relevant skill-set.
more than 6% of its GDP on education compared to the US and South Korean education spending of around 7.3% of GDP
intensive economy like the EU, the gap is most pronounced in tertiary education, where EU spending is more than 40% below US or South Korean levels.
1 2 3 4 5 6 7 United States South Korea EU Other Tertiary
Education expenditure (% of GDP) 10% of the gap estimated to be for education infrastructure Gap in tertiary education a major risk for EU com- petitiveness
Source: OECD
26/03/2015
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R&D Innovation Education
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2.2 bn 5.1 bn 3.6 bn 6.2 bn 7.1 bn 10.7 bn 10.9 bn 10.2 bn 12.5 bn 18.3 bn 16.5 bn 10.4 bn 9.3 bn 15.6 bn 13.4 bn 16.1 bn 13.5 bn 18 37 27 48 45 56 57 55 73 95 95 66 76 104 108 123 150 20 40 60 80 100 120 140 160 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Total number of operations Total Lending volume (EUR m)
Total Lending 2000-2016: EUR 182 bn
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Total: EUR 182 bn
64 bn 35% 35 bn 19% 32 bn 18% 28 bn 15% 8 bn 4% 5 bn 3% 3 bn 2% 3 bn 2% 2 bn 1% 2 bn 1% 558 m 0% 290 m 0% 63 m 0%
Lending by sector 2000-2016
Industry Education Telecommunications Services SMEs & MidCaps Healthcare Transport Energy Construction Urban development Water, sewerage Solid waste Agriculture, fisheries, forestry
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5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000 Germany Italy France Spain United Kingdom Poland Sweden Finland Hungary Denmark Austria Portugal Turkey Belgium Czech Republic Greece Netherlands Ireland Slovenia Romania Slovakia Luxembourg Cyprus Serbia Latvia Switzerland Estonia Lithuania Bulgaria Israel Tunisia Croatia Ecuador Regional - EU countries Regional - EU Malta Albania Liechtenstein Morocco Ukraine Norway Georgia Bosnia and Herzegovina Total Signature Volume (M EUR)
Lending to Innovation 2000-2016 : Total EUR 182 bn
schooling should participate in pre-school education;
should be less than 15%;
prematurely should be less than 10%;
initial vocational qualification should have completed part of their education or training abroad;
a level of secondary education and graduated less than three years ago) should be at least 82%.
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Skills
Facilities
Vocational training programmes
Student loans & mobility programmes
EUR 3 billion annually
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Total : EUR 40 bn
2,000 3,000 4,000 5,000 6,000 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017* Total signature volume (m EUR)
Lending to Education 2000-2017
* as of 30.11
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Total over period: EUR 40 bn
EU 39.8 bn 97% Non-EU 666 m 2%
Morocco 283 m 1% Turkey 100 m Serbia 75 m Ecuador 70 m Tunisia 70m Jordan 40m Albania 13m Ukraine 9m Dominican Rep. 5 m Regional - Africa 2 m
Lending outside of Europe 2000-2017*
* as of 30.11
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Higher education 15.5 bn 38% Education general 10.7 bn 26% Secondary education 8.8 bn 22% Primary education 3.5 bn 9% Technical and vocational secondary education 1.6 bn 4% Sports, culture and support education 187 m 1% Pre-primary education 140 m 0%
Lending by Education type 2000-2017*
* as of 30.11
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Projects funded by the bank must be: In line with EU objectives (eligibility) Financially bearable Justified economically Technically viable Justified from a social and environmental point of view Use of the appropriate procurement procedures are essential
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The education sector is conceived in a broad way: Higher Education and Research Centres Lower cycles Vocational training and apprenticeship Cultural Education Sport in the educational setting Student housing Transversal operations to improve accessibility or improve energy efficiency Student Loans Public research Teacher training
10% of lending volume
37 % of lending volume
schools
…
39 % of lending volume
administrative, sports infrastructure, student housing, university restaurants, libraries, laboratories, …
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adequacy of spaces, integration of new technologies, etc.)
Each of these criteria varies according to the projects
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Contextual economic and social indicators through which system-wide changes in education are monitored and evaluated.
universities that help structure the distribution of resources and activities at the micro level). Structure of decision-making at this level.
various indirect consequences or intangible effects of investment.
costs and benefits, and the usual analysis of the wage-based rate of return fails to appropriately capture all the costs and benefits associated with the investment.
buildings
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the investment programme, focused on capacity building improvement, monitoring of the infrastructure sub- projects and diverse capacities developments
ensuring the sustainability of infrastructures through an improvement of the disciplinary climate and management of the school environment in general
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Step 1 Proposal Step 2 Appraisal Step 3 Approval Step 4 Signature Step 5 Disbursement Step 6 Monitoring and reporting Step 7 Repayment
assessment
Committee
Committee (for operations potentially benefiting from an EU guarantee under EFSI)
Directors
Finance contract is signed
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Project:
standards at the secondary level. 369 schools all over Tunisia (25% of the secondary school capacity of the country)
Contribution to Youth Employment:
secondary schools, currently limited by insufficient capacities in some locations due to internal migration. The project will improve the school environment, contributing to better acquisition of skills, through renovated facilities, modernized equipment and improved disciplinary climate – thanks to dedicated qualitative interventions in a large selection of renovated schools
Project Cost: EUR 213 m
Loan: EUR 70 m
Project:
Institutes (TTI’s), classified at the post-secondary level of education.
Contribution to Youth Employment:
qualifications that are recognised and valued by employers in local labour markets.
and furthermore contribute to the EU response to the 2016 earthquake as some of the Institutes will be located in the regions most impacted by this natural disaster.
Project Cost: EUR 191 m
Loan: EUR 70 m
Project:
time reducing energy consumption and improving energy efficiency of the Universities’ campuses.
encourages the two parties to intensify their cooperation in the field of higher education, aiming, in particular at reforming and modernising the education systems and at enhancing the quality and relevance of the higher education system and institutions.
essential services for the Ukrainian population. The project is expected to improve the cost efficiency of the seven university campuses. Reducing the energy costs enables the universities to direct the scarce resources to their core activities and subsequently to increase and widen the universities’ financial basis.
Project Cost: EUR 160 m
Loan: EUR 120 m
Project:
teaching facilities, a student residency, administration areas and sport facilities.
Contribution to Youth Employment:
training in Morocco, both in the country itself and for the larger African region, as Morocco is attracting a growing number of students from the continent.
Project Cost: EUR 147 m
Loan: EUR 70 m