OREANDA-NEWS. The President of the European Investment Bank (EIB), Werner Hoyer, welcomed the Council’s General Approach on the Regulation establishing the new European Fund for Strategic Investments (EFSI), which will be jointly managed by the EU Bank and the European Commission within the EIB Group.

The President said: “The speed with which the Council came to a common position is encouraging.  EFSI must be created rapidly so we can scale up our activities and start delivering on the ambitious objective of mobilizing more than EUR 315 billion euros in investment.” 

The new fund will be initially endowed with a EUR 16 billion guarantee from the Commission and EUR 5 billion from EIB?s own resources. EFSI will use these funds to provide catalytic, risk-bearing capacity to unlock additional financing of at least EUR 315 billion for investment in strategic infrastructure, innovation, and small and medium enterprises.

Speaking at the meeting of EU finance ministers in Brussels the President stressed that EFSI legislation needs to correctly reflect the responsibility and accountability of each of the parties involved. He said: “Regarding the role of the EFSI ?Investment Committee’, the Committee’s task is to approve or reject the use of EU guarantees for projects brought to the EIB. Regarding all other aspects of projects the normal EIB approval processes will apply in line with the EIB statutes.”

EFSI activities will be complemented by a new European Investment Advisory Hub to help with project preparation and development across the European Union. President Hoyer: “The new hub should be open to all EIB projects and financial instruments, not limited to EFSI-funded projects. Our final goal is to revitalize investment in the EU and to create the conditions for a sustainable competitive European economy.”