The investment Plan for Europe (EFSI) 5 th October 2015, Prague - - PowerPoint PPT Presentation

The investment Plan for Europe (EFSI)

5th October 2015, Prague

Investment Plan for Europe: context

The Investment Plan for Europe consists of three strands:

• 1. Improved investment environment: regulatory and structural

reforms at EU and national levels for predictability, removing

• bstacles, aiming at a friendlier investment environment
• 2. Making finance reach the real economy: stepped-up technical

assistance / advisory by establishing European Investment Advisory Hub (EIAH) in EIB and by EC facilitating a project directory

• 3. Mobilising finance for investment: The EFSI, via EIB, to better

address the current shortage of (higher) risk-financing in EU

Aim: to mobilise at least €315 billion in investment across the EU

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Every piece of the puzzle counts

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Mobilising new investment

EFSI EIB Group

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EFSI Structure

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EFSI structure – EIB and EIF

 EFSI is NOT a fund or a separate

legal entity!

 It is a contractual arrangement

between EC & EIB Group.

 EFSI consists of:

− EUR 16bn EC guarantee in favour of EIB − EUR 5bn capital contribution by EIB − Target of generating EUR 315bn investment in 3 yrs.

 All operations are EIB Group

• perations.

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21bn

16bn 5bn

Infrastructure and innovation window

(through EIB)

SME window

(through EIF) 5bn 16bn

contribution contribution

11bn 5bn 2.5bn Debt portfolio Equity-type portfolio COSME and INNOVFIN Increased EIB RCR mandate 2.5bn

European Fund for Strategic Investments (EFSI)

EFSI Products

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SOURCES OF FUNDING TYPICAL PRODUCTS OFFERED FINAL RECIPIENTS AND TYPICAL PROJECTS

Long-term senior debt for higher risk projects Equity and quasi-equity Subordinated loans

Other investors join in on a project basis

Transport infra Energy infra Broadband infra Energy Resource efficiency Renewable energy Research Education Innovation SMEs Long-term investment funds

The Fund serves as credit protection for new EIB activities

European Fund for Strategic Investments

Eligible sectors

 Wide eligibility criteria - Operations consistent with Union

policies that support any of the following general objectives:

• development
• f

infrastructure including in transport, telecommunications, digital and energy infrastructure; infrastructure projects in the environment, natural resources, urban development and social fields

• research and development and innovation
• investment in education and training, health, information and

communications technology

• develop and modernise the energy sector, renewable energy,

security of energy supply and energy and resource efficiency;

• financial support for mid-cap companies and SMEs.

EIB in charge of verifying that eligibility criteria are properly applied

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Eligible operations

 Commercially sound  Economically and technically viable  Added value (additionality)  Investments boosting employment and growth  Bank intermediation is possible  Pricing commensurate with the risk – no subsidy element

• Typically higher risk profile than normal EIB’s normal operations
• Risk-absorbing products to foster the implementation of additional projects

and to support the development of SMEs and MidCaps

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How will the EFSI operate?

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EIB project cycle

We support sound and sustainable projects

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European Investment Advisory Hub

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European Investment Advisory Hub

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The Advisory Hub in the Investment Plan

Investment Plan for Europe

Support investment in the real economy …through the European Investment Advisory Hub and the European Investment Project Portal Mobilize EUR 315bn of additional financing …through the European Fund for Strategic Investments (EFSI) Create an investment friendly environment …through improvements of the European regulatory environment

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European Investment Advisory Hub

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What is the Advisory Hub?

A tool to strengthen Europe's investment and business environment A single access point to a 360 degree offer of advisory and technical assistance services A joint initiative by the European Commission and the European Investment Bank A cooperation platform to leverage, exchange and disseminate expertise An instrument to assess and address new needs for advisory support

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What is the Advisory Hub?

Project promoters Public authorities Member States Private sector

DEMAND

• Project support throughout the

project cycle

• Support to Financial

instruments

• Enhance access to finance

Existing advisory programmes and activities

European Investment Advisory Hub (EIAH)

• New investment support also

in areas relevant to the scope

• f EFSI (could be delivered by

EIB advisory or operational teams)

• Identification of needs as they

arise

• Network of institutions incl.

EIB Group, EC, National Promotional Banks, etc.

• European Commission
• Integrated collaboration model

Additional advisory and technical assistance EIAH’s partner institutions’ expertise

SUPPLY

Web content + Web portal + Support team

Access point Delivery channels

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What type of support is available?

JASPERS, ELENA, EPEC, Implementation support programmes

Enhance use of EU funds Access to finance Access to the expertise of the Hub’s local partners Access to new advisory services

Advisory and technical support in identification, prioritisation, preparation, structuring and implementation of investment projects

Support for projects and investments

Advisory and capacity building support in the implementation of ESIF financial instruments fi-compass, bilateral services to Managing Authorities Enhancement of the overall conditions for financing for public and private beneficiaries Innovation Finance Advisory Advisory and technical support from the Hub’s local network Continuous development of the Hub’s advisory offer to address unmet needs

A 360 degrees advisory offer TYPE OF SUPPORT DESCRIPTION PROGRAMMES

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Who can contact the Advisory Hub for support?

Managing Authorities Municipalities Public authorities Member States Public companies Private companies National Promotional Banks & Institutions

Advisory Hub

Financial Intermediaries

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FAQs about the Advisory Hub

What is the geo scope of the Hub? The European Union Is the Hub linked to EFSI projects

• nly?

No, support will not be limited to projects to be financed by EFSI (and/or the EIB) Does the Hub provide financing? No Who concretely delivers the advisory support provided via the Hub? Experts of the Hub, its partner institutions and/or appointed external consultants Is the support provided via the Hub free of charge? In most cases, yes. A contribution may be requested from certain private beneficiaries in order to align interests and ensure ownership of results Does the Hub have local offices? Currently the Hub operates mainly via the EIB headquarter in Luxembourg and its local offices. A network of local partner Institutions is being established

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Would you like to know more? Consult the Hub’s advisory offer Request support from the Hub Contact the Hub for more info www.eib.org/eiah eiah@eib.org www.eib.org/eiah/contact

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Thank you!

More information at: www.eib.org info@eib.org

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