EN    EN EN 
 
EN    EN  EUROPEAN COMMISSION 
Brussels, 21.4.2010 
SEC(2010) 442 final 
  
COMMISSION STAFF WORKING DOCUMENT 
accompanying the 
  
REPORT FROM THE COMMISSION 
TO THE EUROPEAN PARLIA MENT AND THE COUNCIL 
 
ON THE MID-TERM REVIEW OF TH E EXTERNAL MANDATE OF THE EIB 
{COM(2010) 173 final} 
 
EN 2   EN TABLE OF CONTENTS 
1. STATISTICAL DATA ................................................................................................ 4 
1.1. EIB operations by sector and regi on in the 2000-2007 mandate period...................... 4 
1.2. EIB operations by sector and region in th e current mandate period up to end 2009 ... 5 
1.3. EIB operations by country under th e 2000-2007 external mandate (*)....................... 6 
1.4. EIB operations by country under the 2007-2013 external mandate up to end 2009 (*)7 
1.5. EIB mandate and own risk operations fr om 2000 until end 2009 (net signatures)...... 8 
1.6. EIB Co-financing with the Commissi on and IFIs from 2000 until end 2009.............. 9 
1.7. Technical Assistance and Risk capital operations by the EIB from 2000 until end 
2009........................................................................................................................... . 10 
1.8. Structured Finance Facility (SFF) and Special Femip Envelope (SFE) operations... 10 
2. EIB EXTERNAL ACTIVITY IN 2009 IN THE REGIONS COVERED BY THE 
DECISION ................................................................................................................. 11 
2.1. Overview of EIB financing volume in the regions covered by the Decision............. 11 
2.2. Contribution to EU policy objectives......................................................................... 12 2.3. Sectoral breakdown.................................................................................................... 13 2.4. Impact and value added of EIB operations ................................................................ 16 2.5 Cooperation with the Commission............................................................................. 17 2.6 Cooperation with Internati onal Financial Institutions ............................................... 19 
2.7 Contribution of EIB lending act ivity by geographical region.................................... 20 
2.7.1 Pre-Accession Countries ............................................................................................ 21 2.7.2 Mediterranean Partner Countries ............................................................................... 24 2.7.3 Eastern Europe, Southern  Caucasus and Russia ........................................................ 27 
2.7.4 Asia and Latin America ............................................................................................. 29 2.7.5 Republic of South Africa ........................................................................................... 32 2.8 List of EC-EIB initiatives / partnershi ps in the regions covered by the external 
mandate ...................................................................................................................... 33  
2.9 List of projects signed in 2009 and co-f inanced with the Commission and other IFIs37 
2.10 List of projects signed in 2009 and co-financed with other IFIs ............................... 38 
2.11 List of loans signed under the external mandate in 2009........................................... 41 
 
EN 3   EN INTRODUCTION 
The present Staff Working Document (SWD) is divided into two parts. 
– The first part provides statistical tables underp inning the report to the European Parliament 
and the Council on the Mid-Term Review of the external mandate of the EIB1; 
– The second part gives a detailed  description of EIB external  financing activities in 2009. 
                                                 
1 COM(2010) 173. 
 
EN 4   EN 1. STATISTICAL  DATA 
1.1. EIB operations by sector and region in the 2000-2007 mandate period 
No EURm Share volume
Composite infrastructure 37 3 0 7 %
Energy 13 776 7%
Financial 38 2.328 22%
Health, education 85 7 7 6 %
Industr y 42 8 4 3 %
Services 24 0 8 4 %
Telecommunications 13 5 0 %
Transports 54 4.760 46%
Urban infrastructure 27 3 1 %
Water, sewerage 11 415 4%
136 10.386 100%
Mediterranean Countries
No EURm Share volume
Agriculture, fisheries, 
forestry 29 0 1 %
Composite infrastructure 12 3 0 3 %
Energy 23 2.613 38%
Financials 13 810 12%
Health, education 53 5 0 5 %
Industr y 83 8 5 6 %
Services 11 4 0 %
Telecommunications 11 0 0 1 %
Transports 23 1.513 22%
Urban infrastructure 17 1 1 %
Water, sewerage 14 749 11%
92 6.924 100%
Eastern Europe, the Southern Causasus and Russia
No EURm Share volume
Composite infrastructure
Energy 12 1 %
Financials
Health, education
Industr y
Services
Telecommunications
Transports 2 230 73%
Urban infrastructure
Water, sewerage 3 83 26%
6 315 100%
Asia and Latin America
No EURm Share volume
Agriculture, fisheries, 
forestry 13 3 1 %
Energy 10 496 22%
Financials 10 405 18%
Industr y 13 674 30%
Services 13 8 2 %
Telecommunications 5 408 18%
Transports 31 1 7 5 %
Water, sewerage 28 0 4 %
45 2.251 100%
Republic of South Africa
No EURm Share volume
Composite infrastructure 26 0 6 %
Energy 2 218 23%
Financials 8 410 43%
Industr y 12 5 3 %
Services
Transports 15 0 5 %
Urban infrastructure
Water, sewerage 2 185 20%
16 948 100%
Total 20.824Pre-Accession
 
 
EN 5   EN 1.2. EIB operations by sector and region in the current mandate period up to end 
2009 
Pre-Accession
No EURm Share volume
Composite infrastructure
Energ y 5 752 14%
Financial 22 1566 30%
Health, education 17 0 1 %
Industry
Services 1 335 6%
Telecommunications
Transports 12 2072 39%
Urban infrastructure 2 375 7%
Water, sewerage 39 2 2 %
46 5.262 100%
Mediterranean Countries
No EURm Share volume
Agriculture, fisheries, 
forestry
Composite infrastructure 12 5 1 %
Energ y 8 1171 30%
Financials 5 627 16%
Health, education 1 200 5%
Industry 4 390 10%
Services
Telecommunications
Transports 9 971 25%
Urban infrastructure
Water, sewerage 6 476 12%
34 3.860 100%
Eastern Europe, the Southern Causasus and Russia
No EURm Share volume
Composite infrastructure
Energ y 1 150 37%
Financials 1 100 25%
Health, education
Industry
ServicesTelecommunications 1 115 29%
Transports 12 0 5 %
Urban infrastructure
Water, sewerage 11 8 4 %
5 403 100%
Asia and Latin America
No EURm Share volume
Agriculture, fisheries, 
forestry 1 119 6%
Energ y 4 283 15%
Financials 3 133 7%
Industry 2 270 14%
Services 14 7 2 %
Telecommunications 5 619 32%
Transports 2 425 22%
Water, sewerage 12 7 1 %
19 1.921 100%
Republic of South Africa
No EURm Share volume
Composite infrastructure 00
Energ y 14 0 8 %
Financials 2 120 25%
Industry 25 0 1 0 %
Services 13 1 %
Transports 1 120 25%
Urban infrastructure 1 150 31%
Water, sewerage 00 0 %
8 483 100%
Total 11.928  
 
EN 6   EN 1.3. EIB operations by country under the 2000-2007 external mandate (*) 
Budget Avg.
period Region Country loan
no. EUR m EUR m pct. EUR m
2000-2007 SEN Albania 8 214 128 60 27
(EUR 9,185m) BiH 13 654 356 54 50
Bulgaria 13 492 311 63 38
Croatia 12 491 474 97 41
FYROM 2 23 23 98 12
Hungary 1 40 40 100 40
Lithuania 2 60 18 30 30
Montenegro 2 35 35 100 18
Romania 23 1.952 1.390 71 85
Serbia 23 1.160 788 68 50
Slovakia 9 498 429 86 55
Slovenia 1 35 35 100 35
Turkey 24 3.809 2.997 79 159
Total 133 9.462 7.023 74 71
Mediterranean Algeria 8 787 380 48 98
(EUR 6,520m) Egypt 19 1.960 1.716 88 103
Gaza-West Bank 2 55 3 5 28
I s r a e l 1 7 500 7 5
Jordan 5 226 186 82 45
Lebanon 6 320 161 50 53
M o r o c c o 2 3 1 . 3 5 8 9 7 57 25 9
Syria 7 735 326 44 105
Tunisia 26 1.658 1.135 68 64
Total 97 7.174 4.882 68 74
ALA Asia:
(EUR 2,480m) China 1 56 56 100 56
I n d i a 1 5 000 5 0
Indonesia 4 189 124 66 47
L a o s 14 23 89 04 2
Maldives 1 50 50 100 50
P a k i s t a n 27 97 9 1 0 03 9
Philippines 4 219 175 80 55
Sri Lanka 3 160 125 78 53
Thailand 1 26 0 0 26
Viet Nam 2 68 68 100 34
Latin America:
Argentina 5 219 187 85 44
Brazil 16 840 684 81 53
C o l o m b i a 11 0 01 0 01 0 01 0 0
Ecuador 1 40 40 100 40
Honduras 1 20 0 0 20
M e x i c o 28 68 6 1 0 04 3
Panama 2 95 90 95 48
Peru 2 100 100 100 50
Regional - C&LA 3 106 26 24 35
Total 53 2.545 2.028 80 48
2000-2007 South Africa South Africa 17 948 716 76 56
(EUR 825m)
Total 300 20.129 14.649 73 67Signed Disbursed
(*) The signed amounts include also loans that have been eventually cancelled. Signatures net of cancellations 
did not exceed regional ceilings established under the mandate 
 
EN 7   EN 1.4. EIB operations by country under the 2007-2013 external mandate up to end 
2009 (*) 
Budget Avg.
period Region Country loan
2007-2013 no. EUR m EUR m pct. EUR m
Pre-accession Albania 2 33 12 36 17
(EUR 8,700m) BiH 9 410 36 9 46
F Y R O M 2 1 1 02 22 05 5
Montenegro 8 158 40 25 20
Serbia 13 1.124 40 4 86
Sub-total 34 1.835 150 8 54
Turkey 12 3.428 929 27 286
Total 46 5.263 1.079 21 114
ENP-Med Egypt 4 500 230 46 125
(EUR 8,700m) Israel 2 145 116 80 73
Jordan 3 253 81 32 84
Lebanon 4 417 128 31 104
Morocco 9 1.140 185 16 127
Syria 4 510 112 22 128
Tunisia 8 945 178 19 118
Total 34 3.910 1.030 26 115
Eastern Partners Moldova 1 20 0 0 20
(EUR 3,700m) Russia 2 133 115 86 67
Ukraine 2 250 0 0 125
Total 5 403 115 29 81
Asia
(EUR 1,000 m) China 1 119 0 0 119
I n d i a 2 2 5 07 53 0 1 2 5
Pakistan 1 100 0 0 100
Vietnam 2 147 17 12 74
T o t a l 6 6 1 69 21 5 1 0 3
Latin America Argentina 1 170 170 100 170
(EUR 2,800m) Brazil 2 450 416 92 225
Colombia 1 100 42 42 100
Mexico 1 50 0 0 50
N i c a r a g u a 11 5 0 01 5
Panama 2 424 0 0 212
Paraguay 1 69 32 47 69
Uruguay 1 28 28 100 28
Total 10 1.305 688 53 131
South Africa South Africa 74 8 3 3 9 8 6 9
(EUR 900m)
Total 108 11.980 3.043 25 111Signed Disbursed
(*) The signed amounts include also loans that have been eventually cancelled.  
 
EN 8   EN 1.5. EIB mandate and own risk operations from 2000 until end 2009 (net signatures) 
2000 2001 2002 2003 2004 2005 2006 2007 old 2007 new 2008 2009 2000-2007 2007-2013
Pre-Accession 1.692 832 1.225 1.290 1.014 1.089 975 1.241 389 1.094 2.615 9.358 4.097
Southern Neighbours 428 910 870 1.080 1.330 905 699 0 840 1.103 1.088 6.222 3.031
Eastern Europe, Southern 
Caucasus and Russia25 60 230 170 315 170
A s i a  a n d  L a t i n  A m e r i c a 7 05 67 07 96 67 2 1 9 0 2 7 2 0 0 7 3 0 6 0 3 9 5 7South Africa 50 150 230 100 145 80 88 73 240 843 313Total 2.240 1.948 2.165 2.704 2.510 2.271 1.944 1.559 1.256 2.640 4.673 17.341 8.568
2000 2001 2002 2003 2004 2005 2006 2007 old 2007 new 2008 2009 2000-2007 2007-2013
Pre-Accession 160 131 85 129 70 160 173 120 915 250 1.028 1.165
Southern Neighbours 30 80 187 107 167 131 315 92 422 702 829
Eastern Europe, Southern 
Caucasus and Russia233 0 233
Asia and Latin America 300 478 55 145 167 90 293 120 278 269 417 1.648 963South Africa 50 30 25 130 40 105 170Total 490 609 270 491 344 417 597 265 593 1.406 1.362 3.483 3.361
Total (Community 
guarantee )2.730 2.557 2.435 3.196 2.854 2.688 2.541 1.824 1.849 4.045 6.035 20.824 11.929
2000 2001 2002 2003 2004 2005 2006 H1-2007 H2-2007 2008 2009 2000-2007 2007-2013
Pre-Accession 1.112 2.045 2.868 3.347 1.203 262 1.824 150 1.026 1.441 1475 12.811 3.942
Southern Neighbours 152 94 117 269 185 33 56 632 274
Eastern Europe, Southern 
Caucasus and Russia00
Asia and Latin America 500 500 141 500 641
South Africa 00
Total 1.112 2.045 2.868 3.499 1.297 879 2.093 150 1.711 1.474 1.672 13.943 4.857
Total 3.842 4.602 5.303 6.695 4.151 3.567 4.634 1.974 3.560 5.519 7.707 34.767 16.786EIB own risk Countries of operation
(EUR million)TotalCountries of operation
(EUR million)
Countries of operation
(EUR million)TotalTotal Comprehensive guarantee
Political risk cover
 
(*) In contrast to Table 2 of the main report, signatures in th e new Member States prior to their EU accession are included in this table. 
 
EN 9   EN 1.6. EIB Co-financing with the Commission and IFIs from 2000 until end 2009 
(EUR m) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Total
Pre-Accession
Mandate 585 343 352 27 169 549 291 456 89 750 3611
EIB own risk 160 663 325 880 690 0 80 0 80 25 2903
Southern Neighbours
Mandate 75 0 20 376 290 795 435 330 158 285 2764
E I B  o w n  r i s k 00000000000
Total 820 1006 697 1283 1149 1344 806 786 327 1060 9278
Cofinancing with IFIs and bilaterals (EURm)
(EUR m) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Total
Pre-Accession
Mandate 490 206 730 281 110 846 978 783 1364 1629 7417
E I B  o w n  r i s k  - - - - - - - 1 2 1 1 3 5 5 5 3 1 1
Southern Neighbours
Mandate 50 225 390 300 550 80 324 470 719 1121 4229
E I B  o w n  r i s k  - - - - - - -0000
Eastern Neighbours and Russia
Mandate 0 0 0 25 0 60 0 230 170 133 618
Asia and Latin America
Mandate 276 338 0 101 127 96 20 87 0 782 1827
South Africa
Mandate 0 0 0 0 0 0 0 0 13 0 13
Total 816 769 1120 707 78 7 1082 1322 1691 2401 3720 14414
(*) The tables include signatures in new Member States prior to their EU accession  
 
EN 10   EN 1.7. Technical Assistance and Risk capital op erations by the EIB from 2000 until end 2009 
(EUR m) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Technical Assistance (TA)
Pre-Accession 3,62
Mediterranean (FEMIP Support Fund) 11,77 20,81 20,31 15,95 13,83 13,26
Mediterranean (FEMIP Trust Fund) 1,20 1,56 0,46 1,88 3,40
Total T A 11,77 22,01 21,87 16,41 15,71 16,66
Risk Capital (RC)
Mediterranean (MEDA/ENPI) 9,37 6,00 37,00 13,50 14,00 33,64 50,05 46,45 62,00 22,00
Mediterranean (FEMIP Trust Fund) 2,0 5,0
Total RC 9,37 6,00 37,00 13,50 14,00 33,64 50,05 48,45 62,00 27,00
Total TA + RC 9,37 6,00 37,00 13,50 37,54 77,66 93,79 81,27 93,42 63,94  
1.8. Structured Finance Facility (SFF) and Sp ecial Femip Envelope (SFE) operations  
Pre-Accession (SFF)
Lending amount (EUR m) 0,00 2,03 35,00 21,25 584,64 35,00 677,92
Number of operations 0111328
Southern Neighbours (SFE)
Lending amount (EUR m) 0,00 80,00 0,00 365,00 52,00 369,73 866,73
Number of operations 020525 1 4
South Africa (SFF)
Lending amount (EUR m) 40,00 40,00
Number of operations 11
Total amount (EUR m) 0,00 82,03 35,00 386,25 676,64 404,73 1584,652008 2009 Total 2004 2005 2006 2007
 
 
EN 11   EN 2. EIB  EXTERNAL  ACTIVITY  IN 2009  IN THE  REGIONS  COVERED  BY THE  
DECISION 
2.1. Overview of EIB financing volume in the regions covered by the Decision 
Total EIB lending signatures in the regions covered by the Decision increased by 40% to 
reach EUR 7.7 bn in 2009, of which EUR 6 bn unde r mandate and EUR 1.7 bn at the own risk 
of the Bank. The following table provides an ove rview of the volume of EIB financing in 
2008 and 2009 in the regions covered by the external mandate. 
Table 1: EIB financing in 2008 and 2009 
Operations under mandate 
Comprehensive 
guarantee Political risk cover 
(1) Total EIB own risk 
operations (2) Total Countries of 
operation 
(EUR million) 
2008 2009 2008 2009 2008 2009 2008 2009 2008 2009 
Pre-Accession 1.094 2.615 915 250 2.009 2.865 1.444 1.475 3.453 4.340 
Mediterranean (3) 1.103 1.088 92 422 1.195 1.510 33 56 1.228 1.566 
Eastern Europe, 
Southern Caucasus and Russia 170 0 0 233 170 233 0 0 170 233 
Asia and Latin 
America 200 730 269 417 469 1.147 0 141 469 1.288 
South Africa 73 240 130 40 203 280 0 0 203 280 
Sub-total 2.640 4.673 1.406 1.362 4.046 6.035 1.477 1.672 5.523 7.706 
(1) These operations were referred to as 'risk sharing' operations under the 2000-2007 mandate 
(2) EIB own risk operations were carried out under the following facilities - Pre-Accession Facility: financial envelope of EUR 19. 5bn for the period  2000-2010, of wh ich EUR 6.2bn for 
2007-10 
- Mediterranean Partnership Facility II: EUR 2bn for 2007-2013 - Facility for Energy Sustainability and Security of Supply: EUR 3bn for 2007-2013 
- Eastern Partners Facility: EUR 1.5bn auth orised in December 2009 until 2013. 
(3) The EIB also invested EUR 27 mn  in private equity under the ENPI risk capital envelope (EU budgetary 
resources) and the FEMIP Trust Fund (direct contri butions of 15 Member States and the Commission). 
EIB lending signatures under mandate increased by 49% in 2009, with cumulative 
signatures under the Decision reaching EU R 12 bn. In 2009, Pre-Accession countries 
accounted for 47% of the total volume, followe d by Mediterranean count ries with 25%, and 
Asia and Latin America with 19%. 77% of the loans signed under manda te were covered by a 
Comprehensive Guarantee , while 23% benefited from Political Risk Guarantee  cover.  
EIB lending at its own risk  in the regions covered by the Decision increased by 13% and 
represented 22% of EIB’s overall financing activities – mandat e and EIB own risk facilities 
combined - in these regions. 88% of operations at the EIB’s own risk were carried out under 
the EIB Pre-Accession Facility. Turkey was by far the largest recipient with two thirds of 
lending under this facility, wh ile EUR 415 mn was allocated to  Croatia, and a EUR 25 mn 
 
EN 12   EN equity participation was signed to the South-East Europe Ener gy Efficiency Fund (a joint 
initiative of the EIB, the Commission and KfW to support small-scale investments in energy 
efficiency and renewable energy in all Pre-A ccession countries). The focus of EIB activity 
was on private sector operations, with credit lines (notably for SMEs ) representing 89% of 
total signatures under the Pre-A ccession Facility. In the Med iterranean region, a EUR 56 mn 
own risk loan was signed in favour of privat e sector Research, Development and Innovation 
in the fields of industrial chemicals under joint Commission-EIB Ri sk Sharing Finance 
Facility. 
2.2. Contribution to EU policy objectives  
The objective of EIB operations under the D ecision is to support the external policy 
objectives of the Community. In  particular, the D ecision provides for some specific policy 
goals to be addressed through EI B external operations. Table 2 below presents a summary of 
the key objectives for EIB financing operations in the regions covered by the Decision.  
Table 2: Summary of key objectives for EI B financing operations  under the Decision 
Key Objectives under the 
Decision PA MED EAST ALA SA 
Energy - Security of Supply X X X X X 
Protection of the Environment  X X X X X 
Private Sector Development, 
SMEs X X X  X 
Infrastructure Development, 
including extension of TENs X X X  X 
Pre-Accession support X     
Support of EU presence    X  
Section 2.7 reviews in more detail the implemen tation of the EIB extern al mandate at regional 
and country level as well as the contribution of EIB financing ope rations to the fulfilment of 
EU external policy objectives, taking into ac count the operational objec tives of the EIB.  
As shown in the table above, the support for energy security  and the protection of the 
environment  are the only two objectives common to all regions covered by the Decision. As 
such, the table below provides the total volume of EIB operat ions signed in 2009 under the 
Decision in support of thes e objectives, as well as for sustainable communities.  
 
EN 13   EN Table 3: EIB operations signed in  2009 in support of energy security2, protection of the 
environment and sustainable communities 
  EUR m
Energy security  25
 
Protection of Environment  1032
- Tackling climate change  518
- Water and waste water  351
- Natural resources management 161
- Reduction of industrial pollution  3
    
Sustainable communi ties (for reference)  433
- Sustainable urban public transport  386
- Urban renewal and regeneration  48
As far as the specific objective of energy se curity is concerned, th e EIB provided EUR 25m 
financing to one project in Serbia which will co ntribute to the energy security of EU Member 
States through interconnections part icularly with Bulgaria and Greece.  
The protection of environment was a significan t focus of EIB activity in 2009. EIB financing 
for investments protecting the environment am ounted to EUR 1 bn which represents an 
increase of 56% from the previ ous year. This amount corresponds to 15 projec ts in all regions 
of the mandate in the areas of  climate change, nature and bi odiversity protec tion, promoting 
the sustainable use of natural resources and de aling with the links be tween environment and 
health by addressing pollu tion and waste management. 
As a complement to the protection of the e nvironment, data are provided for reference on 
lending in support of the ‘Susta inable Communities’, covering the urban environment and 
sustainable transport systems. These investme nts aim at improving the environment and living 
conditions in the partner countri es. Financing of investments in  this category comprised five 
projects in the Pre-Accession and Mediterranean region. Altoge ther, 24% of EIB financing 
under mandate in 2009 contributed to the pr otection of environment and sustainable 
communities.  
2.3. Sectoral breakdown 
Table 4 below provides an overview of the re gional and sectoral distribution of EIB 
operations under the Decision in 2009.  
                                                 
2  Overall energy sector financing is presented in the next section (which provides a sectoral breakdown of 
EIB operations). 
 
EN 14   EN Table 4: Sectoral breakdown of operations signed in 2009 (EUR mn) 
Sector Pre-Accession MediterraneanEastern 
Neighbours & 
Russia (EAST )Asia and Latin 
AmericaSouth Africa Total
Transports 777 544 0 397 120 1838
27% 36% 0% 35% 43% 30%
Energy 450 50 0 182 40 722
1 6 %3 %0 % 1 6 % 1 4 % 12%
Telecommunications 0 0 115 100 0 215
0% 0% 49% 9% 0% 4%
Credit lines to SMEs 1251 0 100 33 60 1444
44% 0% 43% 3% 21% 24%
Industry & Services 0 335 0 317 0 652
0% 22% 0% 28% 0% 11%
Water & sanitation 27 356 18 0 0 400
1 % 2 4 %8 %0 % 0 % 7%
Forestry, biodiversity 0 0 0 119 0 119
0% 0% 0% 10% 0% 2%
Education 335 200 0 0 0 535
12% 13% 0% 0% 0% 9%
Urban infrastructure 25 25 0 0 60 110
1% 2% 0% 0% 21% 2%
Grand Total 2865 1510 233 1147 280 6034  
EIB support to the transport sector  represented 30% of total signatures under mandate. The 
average loan size in the transport sector wa s double the overall average (of EUR 85 mn) of 
EIB loans signed under mandate in  2009 reflecting the larger si ze of investments in the 
transport sector. 
The largest transport investments co-financed by the EIB were TEN-T corridor extensions in 
the Pre-Accession countries (EUR 707 mn for three projects). Investment in terrestrial and 
maritime highways under the FEMIP contributed through the financing of two large motorway projects representing priority economic infrastructure  of regional importance. In 
South Africa, a EUR 120 mn loan was signed in support of upgrading key toll roads of 
strategic importance to the count ry’s transport infrastructure. 
In a context of difficult access to finance by SMEs, EIB financing for credit lines to SMEs  
was significantly stepped up and reached EUR 1.4 bn in 2009, corresponding to one quarter of 
total financing under mandate in this year, in particular under the "IFI Joint Action Plan in 
support of banking systems and lending to the re al economy in Central and Eastern Europe" 
launched in February 2009. This increase represents a more than  three-fold growth from the 
previous year (EUR 467 mn in 2008). The majo rity of EIB SME activity took place in the 
Pre-Accession region where, in addition to  lending under mandate, EIB provided an 
additional EUR 1.3 bn through private sector ba nks under the Pre-Accession Facility on own 
risk. In 2009, the EIB rolled out its new lending instrument, the EIB Loan for SMEs, to the Pre-Accession countries and Eastern Neighbourhood. This instrument enables it to finance 
100% of individual SME projects , requires the intermediary ba nk to co-finance and match the 
EIB lending with equivalent amounts, allows th e financing of working capital (essential in a 
time of crisis) and insists on the transfer of benef it to final beneficiaries, especially in terms of 
the increased maturity of the loans. 
 
EN 15   EN Following the invitation to extend the mandate  to SMEs under the Eastern Partnership in 
2009, the EIB signed its first intermediated loan fo r SMEs in Ukraine. In Vietnam, of an EUR 
100 mn intermediated framework loan, approximatel y one third is targeted  at financing small 
or medium scale investments resulting in EU presence, while the remainder of the loan is 
aimed at supporting climate change mitigation (through projects in the renewable energy and 
energy efficiency sectors). In South Africa, a credit line of EUR 60 mn was extended to the 
Development Bank of South Africa for on-lending to SMEs. In line with the EU–South Africa 
Country Strategy, the operation contributes to the reduction of poverty and inequality, as well 
as the creation of an enabling environmen t for economic growth and development.  
The energy sector  represented EUR 722 mn of EI B financing under mandate in 2009. 
Renewable energy accounted for 60% of this  amount and comprised the financing of 
hydropower plants rehabilitation in Nicaragua, the construction of a large-scale wind farm in 
Egypt, as well as dedicated framework loans in South Africa, Vietnam, Pakistan and Turkey 
for the financing of renewable energy, energy ef ficiency and pollution abatement investments. 
The EIB will coordinate with intermediary banks  to facilitate the flow of information on 
Clean Development Mechanism projects financed under the framework loans to managers of the carbon funds in which the EIB participat es. The potential for extending EIB Climate 
Change Technical Assistance either to intermedia ry banks or final beneficiaries will also be 
assessed.  
Besides the above projects, ener gy efficiency and renewable ener gy are expected to form part 
of the investments financed th rough certain global loans si gned under mandate (The lending 
amounts dedicated to these projects are accoun ted for under ‘credit lines for SMEs’). In 
particular, a EUR 400 mn loan for SMEs in Turkey, intermediated by three state 
controlled/supported intermediaries, is expected  to include eligible schemes meeting the 
requirements of the Commission’s Energy Effici ency and Renewable Investments Finance 
Facility allowing the ble nding of an EIB loan with EU gran ts. Finally, in Turkey and Serbia, 
the EIB financed the reinforcement of the electri city network, essential to cope with growing 
electricity demand, to improve safety standard s, reduce distribution losses and to enhance 
reliability of electricity supply and distribution.  
The combined industry and service  sectors represented 11%  of EIB financing under 
mandate. Private sector industrial projects rece ived EUR 605 mn lending in the Mediterranean 
and in Asia and Latin America, while servi ces comprised a EUR 47 mn loan supporting the 
international growth strategy of an EU -based wholesale chain in Vietnam. 
Education  sector represented 9% of lending unde r mandate. Important national education 
modernisation and academic R&D programmes r eceived a total of EUR 535 mn in Morocco 
and Turkey.  
Financing of water supply, sanitation  and related environmental investments amounted to 
EUR 400 mn and comprised 5 projects in th e Mediterranean, one in  Russia and one in 
Montenegro. In alignment with the Union for Mediterranean priority “De-pollution of the 
Mediterranean”, the EIB financed wastewater treatment investments in Lebanon and Egypt to 
protect the coastal waters a nd inland water sources from c ontamination and exposure to 
untreated sewage. Two water sector projects in Jordan and Israel will help optimise the scarce 
water resources in the Mediterranean. Both projects additionally promote private sector involvement through a PPP structure. In Russia, the EIB financed a priority project of the 
Northern Dimension Environmental Partnership ( NDEP) that will result in the reduction of 
pollution of the Baltic Sea. In Montenegro, EI B financed investments whose objective is to 
 
EN 16   EN develop an EU standard Integrated Sustaina ble Solid Waste Management scheme, including 
construction of new sanitary landfills,  recycling and com posting facilities. 
Operations in the remaining sectors  of Telecommunications (4%) , Forestry / biodiversity 
(2%) and Urban and Municipal infrastructure  (2% of EIB financing under mandate) are 
presented in sections 2.7 and 2.11. 
2.4. Impact and value added of EIB operations 
The review of the value added of EIB operations  is based on the ex-ante assessments which 
the EIB services routinely carry out for each individual operation, under a framework structured along the following three pillars, which are based on a number of criteria and 
indicators: 
Pillar 1: the contribution to over all mandate objectives and priorities; 
Pillar 2: the quality and soundness of the project,  i.e., the economic, technical, financial and 
environmental soundness of the project, as well as management ca pability to design, 
implement and operate the project; Pillar 3: the financial and non-financial contributi on made by the EIB to the project, i.e., 
longer maturities and grace peri ods, attractive interest rates, and risk capital instruments as 
well as changes to project design, project  conditionality and tec hnical assistance. 
The framework applied to operations in the Pre-Accession countries, called the Value Added 
(VA) framework, allows an evaluation of the potential impact of EIB support to Pre-Accession countries’ economic de velopment process and thus also their preparation for 
potential transition to EU membership status. This framework is identical to the one used for financing operations within the EU. For all other regions covered by the Decision, the EIB 
introduced in 2007 the Economic and Social Imp act Assessment Framework (ESIAF), which 
reflects the different needs and characteristics  as well as the respective lending objectives 
under the Decision of each of the geographical regions. 
The assessment is performed by the EIB ex-ant e on the basis of facts and data collected 
during project appraisal. The framework is desi gned so that it can pr ovide information and 
benchmarks throughout the life of the project, in particular for both monitoring and ex-post 
evaluation. In 2009, a comprehensive review of the VA framework was undertaken and a 
revised methodology is applied to operations in the EU and in  Pre-Accession countries from 
2010 onwards. The ESIAF qualitative t ool is being updated during 2010. 
Table 5: Value added ratings of operations approved (not signed) under the Decision in 2009 
Impact rating Pillar 1 Pillar 2 - 
Investment loans Pillar 2 – 
Intermediated 
loans (SMEs) Pillar 3 
 
High 58 (88%) 26 (59%) 7 (32%) 52 (79%)
Medium 8 (12%) 18 (41%) 14 (64%) 13 (20%)
Moderate 00 1  (5%) 1 (2%)
Low 000  0
Total 66 (100% ) 44 (100% ) 22 (100% ) 66 (100% )
According to the above table, 66 operations  under the Decision we re approved in 2009. 
Highest ratings are typically obs erved in Pillar 1, reflecting th e EIB’s upfront selection of 
 
EN 17   EN operations that are highly consistent with th e mandate objectives and priorities (88% of 
operations approved in 2009).  
With respect to Pillar 2, all investment loans were rated “high” or “medium”. Among 
intermediated loans to SMEs, the dominance of “medium” ratings in Pillar 2 usually reflects the quality of the financial intermediaries, either in terms of their financial performance, governance or their experience in the sector or the objective targeted by the operation. All 
except one such operation scored “high” in both Pillars 1 and 3. One operation scored 
“moderate” on Pillar 2, given the particularly hard effects of the financial crisis on some of the participating intermediaries, most of which do not have previous experience with the EIB 
eligibility criteria.  The EIB’s involvement in this operati on was justified by the “high” ratings 
in the other two value-added pillars (contribu tion to mandate objectiv es and financial and 
non-financial contribution made by the EIB to the operations). 
In general, as reflected in the aggregate ratings of Pillar 3, the EIB focuses its activity on 
operations where its contribution is likely to be high (79% of operations). The only operation 
where the EIB contribution was asse ssed as likely to be “moderat e” relates to a rail transport 
project with relatively modest  EIB financing (EUR 15 mn). 
2.5 Cooperation with the Commission 
The Decision invites the Commission and the EIB to strengthen the consistency of EIB 
actions with the EU's external policies, in cluding with a view to  maximising synergies 
between EIB financing and EU budgetary resources , mainly through a re gular and systematic 
dialogue and early consu ltation on policies, strategies and project pipelines. To this end, in 
May 2008 the Commission and EIB signed a sp ecific Memorandum of Understanding 
defining the terms and conditions of this st rengthened cooperation. The EC-EIB Steering 
Committee established under the MoU has met twi ce and the meetings ha ve allowed planning 
the implementation of the MoU as well as to  exchange views on policy developments and 
priorities relating to the cooperation of th e two institutions in the regions concerned. 
With a view to enhancing the coherence of overall EU support in the regions covered by the 
external mandate, the Commission and EIB are ac tively cooperating in instruments where EIB 
financing is blended with EU budgetary reso urces, notably under the Instrument for Pre-
Accession Assistance (IPA) and the Europ ean Neighbourhood and Partnership Instrument 
(ENPI). A list of the existing frameworks  under which the EIB and the Commission 
cooperated in 2009 in the regions  covered by the external manda te is included in section 2.8. 
Cooperation between the Commission and the EI B outside the EU intensified during 2009 in 
response to the economic and financial cris is. This led to initiatives such as: 
• Following the Commission's communication on “Supporting developing countries in 
coping with the crisis”, the GAERC invited the EIB to focu s on counter-cyclical actions 
such as quicker and more flexible lending to  the financial and infrastructure sectors, 
frontloading of lending activity and speeding-up disbursements. Moreover, it requested the 
EIB to reinforce its suppor t to SMEs in the Neighbourhood
3 and welcomed the intention of 
the EU to provide an additional EUR 200 mn to  the EU-Africa Infrastructure Trust Fund. 
                                                 
3 Other recommendations concerned ACP countries, such as the reinforcem ent of the EU-Africa 
Infrastructure Fund and the ACP water and energy facilities. 
 
EN 18   EN • In the context of the IPA Crisis Response Package, the Commission and the EIB worked 
closely together, as well as with other IFIs  such as EBRD, to coordinate actions and 
provide support to SMEs and energy efficiency investments in the Western Balkans and 
Turkey. The EIB has established the “South Ea st Europe Energy Efficiency Fund”, which 
involves a contribution from the EU budget. 
• In the framework of the Eastern Partnership Summit that was held in Prague in May 2009, 
the EIB was invited to star t working on investment support for SMEs in the Eastern 
Neighbourhood, in full cooperation with the EBRD and the other IFIs. Moreover, to enable 
the stepping up of efforts to assist the Ea stern Partners, the EI B Board of Governors 
authorised in December 2009 the creation of an  EIB own risk Eastern Partners Facility 
(EUR 1.5bn) for financing investments of EU  interest in the Eastern Neighbours and 
Russia. 
• The G-20 working group on IFIs, where the EI B contributed in particular to the 
benchmarking exercise on capital  situation and requirements. 
A major objective of increased cooperation be tween the Commission and the EIB is to 
optimise the combination of scarce EU grant f unds with EIB and other IFI loan resources so 
as to achieve a maximum leverage effect and consequently the best value for EU taxpayers’ 
money. At the request of the Council, an expe rts’ working group was se t up in 2009 to reflect 
on mechanisms blending EU grants and IFI and b ilateral agency loans, in orde r to guide donor 
decisions on the use of blending mechanisms . The Commission and the EIB representatives, 
together with representatives of Member States and European multilateral and bilateral finance institutions, collaborated closely in this context which led to a final report in 
December 2009 identifying the positive and nega tive aspects of the use of grants in 
combination with loans, and parameters  to assess the re lated value added. 
In the Western Balkans, the Western Balkans Investment Framework (WBIF) was launched in 
December 2009 by the Commission, the EIB, the EBRD and the CEB. The WBIF includes a 
joint grant and loan facility to finance prior ity projects in the Western Balkans. The objective 
is to pool and coordinate differe nt sources of finance and to le verage grants with loans for 
projects that are a priority for the Western Balkan beneficiaries, such as infrastructure 
investments, loans for SMEs and for energy efficiency. The Steering Committee under the 
WBIF has already approved EUR 26 mn of techni cal assistance in suppor t of 26 projects that 
will mobilise IFI loans of EUR 2.2 bn, of which EUR 1.4 bn is expected from the EIB. 
In the Mediterranean region, EU budgetary re sources were used by the EIB to finance 17 
technical assistance operations for a total valu e of EUR 12.2 mn while risk capital operations 
signed under this envelope amounted to EUR 22 mn in 2009. Under the FEMIP Trust Fund (a 
financial envelope of EUR 34.5 mn funded by c ontributions of 15 Member States and the 
Commission), 6 new technical assistance op erations amounting to EUR 3.3 mn were 
contracted. Additionally, an (EUR  5 mn) equity participation in a regional venture capital 
fund was signed. 
Regular policy and institutional dialogue between the Commissi on, EIB and peer institutions 
is particularly important in the activities of  FEMIP, as illustrated by activities under two 
priority sectors of the Union fo r the Mediterranean: the De-po llution of the Mediterranean and 
the Mediterranean Solar Plan aiming to de velop all renewable energy sources in the 
Mediterranean region. 
 
EN 19   EN • Concerning the De-pollution of the Mediterr anean, the EIB organised two coordination 
meetings with the Commission, AFD, KfW,  the World Bank and UNEP-MAP in 2009 to 
present the work of the Mediterranean Ho t Spot Investment Programme - Project 
Preparation and Implementation Facility f unded by EU budgetary resources through the 
FEMIP Support Fund. 
• With respect to the Mediterranean Sola r Plan, the EIB announced in June 2009 
coordination with KfW and AFD in the development of the MSP under the MSP 
Cooperation Mechanism. The EIB is also wo rking closely with the Commission and the 
World Bank in order to find other suitab le coordination and cooperation means. 
In the domain of climate change adaptation, the EIB worked closely with  the other European 
Finance Institutions (FIs) in orde r to maintain a dialogue on stra tegies and initiatives taken. A 
workshop and brainstorming session on “Assessi ng and managing Climate Risks” was hosted 
by the EIB in September 2009. The brainsto rming session involved the Commission (DG 
ENV and DG ECFIN), EBRD, AF D, NIB, KfW and GTZ. All involved institutions have 
taken or plan to take internal action to gra dually mainstream climate risk management into 
their operations. In addition, th e participating institutions ag reed to establish a Climate 
Change Adaptation Working Group in 2010, chai red by the EIB, so as to continue the 
dialogue, and share knowledge on climate change adaptation. 
The EIB also led the organisation of a side  event co-hosted with the Commission, EBRD, 
AFD, KfW and NIB at the United Nations Framework Convention on Climate Change 
(UNFCCC) COP15 in Copenhagen in December focusing on the role of European FIs in 
financing adaptation. This will be followed by an inter-institutional working group in 2010. 
In support of South Africa, the EIB has as sisted the Commission in the design and 
implementation of dedicated EU funded risk capital facilities for South African SMEs. The 
second Risk Capital Facility, set up for an am ount of EUR 50 mn and for a period of five 
years, is being implemented according to schedule. 
2.6 Cooperation with Internatio nal Financial Institutions 
The Bank strengthened its close cooperation with  other International Financial Institutions 
and European bilateral institu tions in 2009, representing an in tegral feature of the EIB 
response to the crisis outside th e EU. Cooperative actions in res ponse to the crisis resulted in 
several initiatives that materia lised throughout the year . They included an increased level of 
financing activity, reaching EUR 8.8 bn outside the EU of whic h 60% was co-financed with 
other IFIs and European bilateral finance institutions (up from 55% in 2008 and 42% in 
2007). 
In this context, a “Joint IFI Action Plan in support of the banking systems and lending to the 
real economy in Central and Eastern Europe” was developed jointly by EIB, EBRD, and the 
World Bank Group under which the IFIs coordinate  their respective financing activity for and 
their dialogue with the banks most active in the region.  
In December, the NIF Framework Arrangement  was signed by the Comm ission and the nine 
Eligible Finance Institutions including the EIB. This document defines the role and the responsibilities of the Lead Finance In stitution in the framework of the NIF. 
 
EN 20   EN The EIB has launched a Mutual Reliance Ini tiative with AFD and KfW whereby the three 
institutions seek to enhance their collectiv e effectiveness and efficiency, by mutually 
recognising and relying on the procedures and standards ap plied by each institution on co-
financed projects. Experience will be gained during the ongoi ng pilot phase, with a view to 
implement it with a wider range of institutions. 
As regards ACP countries, the EI B closely cooperates with Eur opean finance institutions and 
the AfDB in the framework of the EU-Africa Infr astructure Trust Fund, a nd participates to the 
IFC Infrastructure Crisis Facility with lendi ng of up to EUR 1 bn, as well as contributing USD 
100 mn to the IFC Microfinance initiative. 
In addition, during 2009, the EI B cooperated with other IFIs in the context of several 
initiatives, e.g.:  
– in March, in the framework of their annual vi sit to the EU institutions, the World Bank’s 
EU Executive Directors visite d the EIB for the second time; 
– in June, the Bank and IFC established the Gl obal Emerging Markets Risk Consortium with 
views to a comprehensive database of credit risk information for MDBs and IFIs. Since 
then, the AfDB, EBRD, IADB, and ADB have also joined; 
– in October, the EIB organised its first H eads of MDB and Heads of MFIs meeting in 
Istanbul in conjunction with the WB/IMF annual meeting, inter alia  to discuss the 
coordination among MFIs in th e response to the crisis; 
– in November, the Bank and the OECD signed a Joint Statement on cooperation; 
– via inter-institutional participation in horizontal initiatives such as th e Joint Multilateral 
Development Banks Statement on Clim ate Change issued in December; 
– cooperation with EBRD and CEB has intensifie d, notably with the launch of the Western 
Balkans Investment Framework, as well as in the Neighbourhood; 
– the EIB also signed a co-financing agreem ent with the Asian Development Bank on the 
Pakistan Renewable Energy programme, involvi ng delegation of selected administrative 
tasks. 
2.7 Contribution of EIB lending ac tivity by geographical region 
This section reviews the implementation of the EIB external mandate at  regional and country 
level as well as the contribution of EIB financi ng operations to the fulfilment of EU external 
policy objectives, taking into account the operationa l objectives of the EIB.  It is to be noted 
that lending under the previous mandate (for  2000-2007) continued un til 31 July 2007 while 
the tables that follow cover financing opera tions signed under the cu rrent mandate only. 
 
EN 21   EN 2.7.1 Pre-Accession Countries 
Summary of loan signatures by Country 
2007 2008 2009 Cumulative 
Total 
Country N° ops EURm N° ops EURm N° ops EURm N° ops EURm
Albania 1 23 - - 1 10 2 33
Bosnia and Herzegov. - - 5 260 4 150 9 410
FYROM - - 1 10 1 100 2 110
Montenegro - - 6 50 3 108 8 158
Serbia 1 60 3 170 10 894 13 1124
Turkey 1 305 7 1519 6 1603 12 3427
TOTAL 3 388 22 2,009 25 2,865 46 5,262
In 2009, EIB activity in the Pre-Accession co untries reached EUR 2.9 bn under mandate. 
With a signature volume of EUR 1.6 bn in Tu rkey and EUR 894 mn in Serbia, the two 
countries together absorbed 87% of the amount lent under mandate. 
Under the EIB own risk Pre-Accession Facilit y, an additional EUR 1.5 bn was signed in 2009, 
of which 1 bn in favour of Turkey and 415 mn in favour of Croatia. Moreover, a EUR 25 mn 
equity participation was signed for the South- East Europe Energy Efficiency Fund, a joint 
initiative of the EIB, the Commission and KfW to support small-scale investments in energy 
efficiency and renewable energy in all Pre-Accession countries.  
Summary of signatures by region- specific key lending objectives 
 2007 2008 2009 Cumulative Total
Objective N° ops EURm N° ops EURm N° ops EURm N° ops EURm 
Knowledge economy (RTD, 
ICT, Education) - 0 1 70 1 335 2 405
Extension of Trans-European 
Networks (TENs) 2 83 3 86 3 707 6 876
Support for SMEs - 0 7 315 15 1251 22 1566
Environmental Protection and 
Sustainable Communities 1 305 9 1,504 5 715 14 2524
Support to Sustainable, 
Competitive and Secure Energy - 0 2 103 3 450 4 553
TOTAL 3 388 22* 2,009* 25* 2,865* 46* 5,262*
 
EN 22   EN * The above numbers cannot be added as a sing le operation may contribute to several 
objectives  
EIB support extended to all of the 6 key lendi ng objectives in the Pre-Accession region with 
main focus on SMEs, environment and TENs, wh ich together absorbed more than 80% of 
lending under mandate in 2009.   
As part of the co-ordinated anti-crisis effort s in the framework of an IPA Crisis Response 
Package and the call for co-ord inated EC-IFI Action for the Western Balkans and Turkey, the 
EIB significantly stepped up its SME  lending to reach EUR 2.6 bn in 2009, half of which was 
signed under mandate and half under the Pre-Acce ssion Facility. The operations ranged from 
a large (EUR 400 mn) SME developm ent facility through 3 state- supported intermediaries in 
Turkey to the first (EUR 10 mn) credit line in Albania, to an innovative microfinance facility 
in Bosnia and Herzegovina intended to benef it projects undertaken by very small businesses 
in the sectors of agriculture, tr ade, manufacturing and services. The impact of this increased 
SME lending was reinforced by the introduction of the new lending inst rument, the EIB Loan 
for SMEs. 
Support to environmental protection and sustainable communities  were provided by 5 
operations totalling EUR 715 mn located in Turkey, Serbia and Montenegro.  
• In Turkey, a EUR 300 mn dedicated framewor k loan targets the financing of renewable 
energy, energy efficiency and po llution abatement investments as  well as other investments 
with a significant positive environm ental impact in the field of energy. 
• Sustainable transport, contri buting to improved urban enviro nment, received support with 
the signature of two further tranches (bringing total EIB si gned contribution to EUR 850 
mn) for the financing of Istanbul-Ankara high speed railway project. The project is of 
strategic importance for Turkey, aiming at c onnecting the two most po pulous cities of the 
country. The Turkish high-speed railway line project is also strongly supportive of key 
strategic objectives of EU policy. It is on the South-East ern axis defined by the High Level 
Group on Extension of the major trans-Europ ean transport axes to the neighbouring 
countries and regions. Furthermore, the tec hnical project characte ristics will ensure 
interoperability with th e European rail network.  
• Another operation supported sustai nable transport in Serbia; th e EIB signed a first tranche 
of EUR 70 mn to finance a new bridge and associated roads to improve the transport 
network of Belgrade co ntributing to alleviating its grow ing traffic and reducing congestion, 
pollution and noise in  the inner city.  
• Another loan in Serbia (E UR 25 mn) was extended in s upport of urban renewal and 
regeneration, in particular for the improveme nt and upgrading of municipal infrastructure 
covering e.g. transport and local /regional roads, edu cation, cultural and historical heritage 
and public buildings rehabilitation. The exp ected benefits include improved quality of 
public facilities, increased traffic safety a nd reduction of congesti on on the road network. 
• In Montenegro, a EUR 27 mn loan  contributed to the creation of national sustainable waste 
management system. The project is expected  to lead to improved local amenities, an 
improved quality of life for citi zens and consequently to reduced  risks to public health.  
 
EN 23   EN The extension and development of corridors connecting to Trans-European transport 
Networks  was supported by three operations fo r a total EIB lending of EUR 707 mn.  
• In Serbia, EUR 384 mn was provided for th e design and construction of 75 km of 2x2 
motorway on Pan European Corridor X. This is  the largest single loan signed by the EIB in 
Serbia to date. The project benefits from coordinated EC-IFI support in the framework of 
Western Balkans Investment Framework. Corri dor X may be considered as the core 
element of the transport network in the Western Balkans and this project improves one of the few remaining bottlenecks on the 1,500 km long road corridor. The project is consistent 
with Serbian National Plan  for Road/Rail Infrastructure Development 2008-2012, which 
identifies the completion of the road por tion of Corridor X as a first priority.  
• Other projects connecting to TENs includ e the above-mentioned Istanbul-Ankara high 
speed railway project in Turkey and a EU R 30 mn tranche signed in Montenegro 
contributing to addressing the backlog of road  maintenance along majo r arteries and other 
sections of the network feeding into them. 
Support to sustainable, competitive and secure energy  was targeted by 3 projects benefiting 
from total EIB financing of EUR 450 mn. Th ese comprised, in Turkey, the dedicated 
framework loan mentioned in the above sect ion presenting the operations benefiting the 
environment and a EUR 125 mn loan for the reha bilitation and expansion of mostly urban low 
and medium voltage electricity distributi on networks. Expansion and upgrading of the 
existing electricity network are essential to cope with growin g electricity demand, to improve 
safety standards, reduce distribution losses a nd to enhance reliability of the electricity 
distribution services provided.  Finally, in Se rbia, EUR 25 mn will contribute to upgrading the 
electricity network, thus indirectly supporting the energy security of EU Member States 
through interconnections pa rticularly with Bulgaria and Greece.   
Knowledge Economy  received support through a EUR 335 mn facility assisting Turkey in 
improving R&D infrastructure and strengthening research capacity at the top Turkish public 
universities. OECD studies conc lude that Turkey’s capacity to acquire, develop, share and 
apply knowledge has become a key factor in dete rmining its ability to compete regionally and 
globally and to create high-wage, high-valu e-added jobs for a rapidly growing young 
population. Recognising the challenge, the Turkish government has set competitiveness, human capital, R&D and ICT at the heart of the country’s Ninth Development Plan (2007-
2013) as it aims for the transition towards a knowledge-based economy.  
 
 
EN 24   EN 2.7.2 Mediterranean Partner Countries 
Summary of signatures by Country 
  2007 2008 2009 Cumulative 
Total 
Country N° ops EURm N° ops EURm N° ops EURm N° ops EURm
Egypt 1 130 1 250 2 120 4 500
Israel  1 120 - 0 1 25 2 145
Jordan 1 50 1 37 1 166 3 253
Lebanon 2 295 1 52 1 70 4 417
Morocco 2 330 3 270 4 540 9 1140
Syrian Arab Republic 1 80 1 275 2 155 4 510
Tunisia 1 200 4 311 3 434 8 945
TOTAL 9 1,205 11 1,195 14 1,510 34 3,910
 
In the Mediterranean, lending under mandate represented EUR 1.5 bn in 2009. Morocco and 
Tunisia remained the most important recipients  of financing and recei ved 65% of the amount 
signed under mandate. The remaining 35% went  to 4 countries in the Near East.  
In addition to EIB lending under mandate, one loan  of EUR 56 mn was gr anted to Israel at 
EIB own risk under the Mediterranean Partnershi p Facility II. This loan supports private 
sector Research, Development and Innovation in the fields of industrial chemicals and falls 
under the EIB window of the Ri sk Sharing Finance Facil ity with the Commission. 
Investments in Research, Development and I nnovation remain key to securing the future 
competitiveness of the chemical industry. Thes e investments are typically aiming at the 
adaptation to and the development of more ef ficient and environmentally-friendly process 
technologies and products.  
Moreover, EUR 27 mn was provided in private e quity under the ENPI risk capital envelope 
and the FEMIP Trust Fund. These comprised equ ity participations in three Mediterranean 
regional funds (including the fi rst venture capital fund targeti ng the Palestinia n territories) 
and a local currency loan for a micr o-finance association in Egypt.  
Finally, private sector development was underpi nned by the 23 technical a ssistance operations 
amounting to EUR 15 mn that were contracted by FEMIP in 2009. 
 
 
EN 25   EN Summary of signatures by region- specific key lending objectives 
Objective 2007 2008 2009 Cumulative Total
 N° ops EURm N° ops EURm N° ops EURm N° ops EURm 
Support for enabling 
environment for private sector through strengthening of 
economic and social 
infrastructure 6 905 10 1,143 11 1,175 27 3223
Direct support for private 
sector, SMEs or micro-finance 6 745 2 107 5 526 13 1378
TOTAL 9* 1,205* 11* 1,195* 14*  1,510*  34*  3,910* 
* The above numbers cannot be added as a sing le operation may contribute to several 
objectives  
Of the 14 loans signed under mandate in  2009, 11 contributed towards an enabling 
environment for the private sector through  strengthening of economic and social 
infrastructure. Five of the loans provid ed direct support for the private sector. 
In alignment with the priorities of the Union for Mediterranean, the financing of economic 
and social infrastructure comprised the following: 
• “Land (and sea) motorways”: EUR 234 mn for th e construction of a toll motorway section 
between Sfax and Gabès in Tunisia and EUR 225 mn for the widening of the Rabat-
Casablanca motorway in Morocco. Further fina ncing in the transport sector comprised 
EUR 70 mn for the construction of Enfidha inte rnational airport in Tunisia, managed under 
a concession awarded to a Turkish operator,  and EUR 15 mn for the construction of a 
tramway link between Rabat and Salé. 
• “De-pollution of the Medite rranean”: EUR 70 mn was extended to Lebanon for the 
construction of wastewater treat ment plants in the densely pop ulated and touristic Kesrwan 
region in order to prevent untreat ed water from being discharged  into the sea. This project 
is included in the priority list for Lebanon unde r the "Horizon 2010" initiative and is part 
of the National Action Plan for pollution reduc tion in line with the Barcelona Convention. 
FEMIP also provided EUR 70 mn to improve access to drinking water and the sanitation 
system for four million people in the Nile De lta in Egypt. Both projects received a grant 
from the NIF. 
• In the water sector, Jordan received a loan of EUR 165 mn for drinking water supply to the 
city of Amman and a EUR 25 mn loan for Israel  served to increase the capacity of the 
Hadera desalination plant. Both operations promote private sector involvement through a 
PPP structure bringing additional expertise to design, construction and operation.  
• “Renewable energy”: EUR 50 mn financing sup ported the construction of a new wind farm 
in Gabal el Zait in Egypt. Located on the Red Sea coast, this wind farm with a capacity of 
200 MW is part of an ambitious programme undertaken by Egypt to  further expand power 
generation from renewable energy sources. In order to facilitate the development of 
 
EN 26   EN renewables, the EIB, AfD and KfW set up a tripartite initiative to harmonise their sectoral 
strategies and project evaluati on criteria and thus enable th em to combine their financing 
efforts and mobilise the concessionary funds av ailable for this type of investment. This 
project is also cofinanced by the NIF and the EU-Egypt National Indicative Plan. 
• Education: a EUR 200 mn framework loan su pports the implementation of the strategic 
plan for the development of the Moroccan education system over the period 2009-2012. It 
is a joint operation where the EIB coordina tes its contribution with the Commission 
(involved both directly via the EU-Morocco Nati onal Indicative Plan and indirectly via the 
NIF), the World Bank, African Development Bank and AFD. 
• Urban development: a EUR 50 mn framework loan was provided to Syria to finance urban 
renewal investment programmes, mainly in the following sectors: transport and traffic, 
public tourist infrastructure, sanitation, indus trial effluent treatment and solid waste 
management. The project is complementary to and is built on result s achieved under the 
Municipal Administration Modernisation Pr ogramme initiated by the Commission to 
support the needs of cities for administrative improvements.  
• In addition to the two PPP wate r sector projects mentioned above, direct support to the 
private sector was provided by th ree large-scale industrial projects in Tunisia, Morocco and 
Syria (EUR 335 mn total financing). 
Besides operations on EIB own resources, the EIB provided further support to the private 
sector under the ENPI risk cap ital envelope funded by EU b udget and the FEMIP Trust Fund 
funded by contributions of 15 Member States  and the Commission. FEMIP has played a 
leading and pioneering role in the promotion of private equity in the Mediterranean partner 
countries, in terms of both financing and im proving the financial practices implemented. The 
operations signed in 2009 included: 
• EUR 20 mn total participation in two private equity closed-end funds investing in private 
companies in the Middle East and Northern  Africa region. The operations will support the 
development of the private sector by fina ncing the creation, growth and expansion 
opportunities for companies with diverse risk  profiles, from green-fields to SMEs and 
larger corporations, all fundamental  for the growth of the economy. 
• EUR 2 mn local currency loan to a microfinan ce institution in Egypt. The investment will 
support the development of micro-enterprises and improve access to finance with expected 
impacts on economic growth and the welfare of marginalised groups.  
• EUR 5 mn participation in the first venture capital fund, which will primarily invest in 
early stage private, export-oriented IT compan ies located in the Pale stinian Territories. The 
fund is expected to make a key contribution to  economic growth in Palestine, through the 
development of private busin ess and the local hi gh-technology and fi nancial sectors. 
Development of the Information and Communica tion Technology sectors is a key priority 
for the Palestinian Territories as it is the only economic activity to have seen near 
continuous growth over the last decade. Software exports are not  subject to the impacts of 
political uncertainty, such as obs tacles to movement and access. 
 
 
EN 27   EN 2.7.3 Eastern Europe, Southern Caucasus and Russia 
Summary of signatures by Country 
 2007 2008 2009 Cumulative 
Total 
Country N° ops EURm N° ops EURm N° ops EURm N° ops EURm 
Republic of Moldova - 0 1 20 - 0 1 20
Russian Federation - 0 - 0 2 133 2 133
Ukraine - 0 1 150 1 100 2 250
TOTAL - 0 2 170 3 233 5 403
 
EIB financing operations in Eastern Europe, the Southern Caucasus and Russia are carried out 
in close cooperation with the EBRD accordi ng to the terms set out in a tripartite 
Memorandum of Understanding between the Commission, the EIB an d the EBRD, which 
aims to bring together the expertise, capacity and comparative advantages of each participant 
for the successful implementation of the Eu ropean Neighbourhood Policy and the EU-Russia 
Strategic Partnership.  
In 2009, lending activity continued to develop and increase in sp ite of political, economic and 
regulatory hurdles. 3 operations in Russia and Ukraine totalling EUR 232.5 mn were signed. 
Although approvals were close to target, the outcome of signatu res was lower than targeted, 
as it was not possible to sign some key operations due to the financial crisis in Russia, which 
rendered bank intermediation impossible, and due to lengthy administrative procedures in 
Ukraine. In addition, several proj ects in the transport sector in  Russia were put on hold by the 
Commission due to EU-Russi a tariff disputes over road and freight charges and trans-Siberian 
over flight rights. 
Summary of signatures by region- specific key lending objectives 
Objective 2007 2008 2009 Cumulative Total
 N° ops EURm N° ops EURm N° ops EURm N° ops EURm 
Transport - 0 1 20 - 0 1 20
Energy - 0 1 150 - 0 1 150
Telecommunications - 0 - 0 1 115 1 115
Environmental infrastructure - 0 - 0 2 118 2 118
SMEs - 0 - 0 1 100 1 100
TOTAL - 0 2 170 3* 233* 5* 403*
 
EN 28   EN * The above numbers cannot be added as a sing le operation may contribute to several 
objectives  
In the Eastern Neighbourhood and Russia, the EIB focuses on projects that are of significant 
interest to the EU in th e transport, energy, telecomm unications and environmental 
infrastructure fields. Priority is given to investments in extended major trans-European 
network axes, projects with cross-border impli cations for one or more Member States and 
major projects fostering regional integration through increased connectivity. In Russia in the 
environmental sector, the EIB gives particular pr iority to projects within the framework of the 
Northern Dimension Environmental Partnership.  In the energy sector, strategic energy supply 
and energy transport projects are of particular importance.  
At end 2009 the EIB also established the Easter n Partners Facility for lending in the same 
countries using up to EUR 1.5 bn from its own res ources and at its own risk, with a ceiling of 
EUR 500 mn for lending to projects in Russia. In this framework, the EIB will extend loans 
and/or guarantees for EU investments, notab ly by European corporates, essentially under 
investment-grade structures in line with the EIB’ s usual criteria. Indirect  equity investments in 
infrastructure funds of EU interest woul d also be eligible under this facility. 
In 2009, a EUR 115 mn loan was extended to Russia for the upgrading and further 
development of the mobile tel ecom network to increase the quality and accessibility of 
broadband services. Another, EUR 17.5 mn loan in  Russia finances further reduction of the 
pollution discharged by Saint Peters burg into the Gulf of Finland.  
As a result of the opening of SME eligibility  for the EIB in Eastern partner countries 
following the Prague Easter n Partnership Summit in May 2009 and the subsequent 
Commission favourable opinion in  August 2009, the EIB signed a first intermediated loan of 
EUR 100 mn for SMEs in Ukraine. This operati on was part of the Join t IFI Action Plan in 
support of banking systems and lending to the real  economy in Central and Eastern Europe. In 
addition to investments by SMEs, the operation will finance small and medium-sized energy 
and environment projects promoted by mid-caps and public sector entities in Ukraine. 
 
 
EN 29   EN 2.7.4 Asia and Latin America 
Summary of signatures by Country 
 2007 2008 2009 Cumulative 
Total 
Country N° ops EURm N° ops EURm N° ops EURm N° ops EURm 
Argentina - 0 - 0 1 170 1 170
Brazil 1 250 1 200 - 0 2 450
China - 0 - 0 1 119 1 119
Colombia - 0 - 0 1 100 1 100
India - 0 1 150 1 100 2 250
Mexico - 0 1 50 - 0 1 50
Nicaragua - 0 - 0 1 15 1 15
Pakistan - 0 - 0 1 100 1 100
Panama 1 27 - 0 1 397 2 424
Paraguay - 0 1 69 - 0 1 69
Uruguay 1 28 - 0 - 0 1 28
Vietnam - 0 - 0 2 147 2 147
TOTAL 3 305 4 469 9 1147 16 1921
 
In 2009, EIB activity in Asia and Latin America more than doubled in comparison with the 
previous year. Nine operations totalling EU R 1,147 mn were signed under the ALA mandate: 
5 loans totalling EUR 466 mn in Asia and 4 lo ans totalling EUR 682 mn in Latin America. 
Together with the operations a pproved to be signed, the amount s already utilis ed under the 
Asia and Latin America envelopes represente d respectively 76% and 60% of the regional 
mandate sub-ceilings at end-2009. 
In addition to signatures under mandate, one lo an of EUR 141 mn located in Panama was 
signed under the EIB own risk Facility for Energy Sustainabi lity and Security of Supply, 
thereby bringing total EIB signatures in Asia  and Latin America to EUR 1,288 mn in 2009. 
This project which consists of the constructio n and operation of a cascad e of three run-of-river 
hydro power plants aims at providing electric ity from a renewable energy source to the 
increasing demand of the Panama nian electricity market.  
In 2007, the China Climate Change Framewor k Loan, an envelope of EUR 500 mn, was 
signed under the EIB own risk Facility for Energy Sustainabi lity and Security of Supply. 
Under this Framework Loan, the EIB Board of  Directors approved in 2009 the allocation of 
 
EN 30   EN EUR 134 mn for four projects th at contribute to the mitigation of climate change. The total 
amount of allocations approved since 2008 is EUR 354 mn. Projects approved are in the fields 
of renewable energy, energy efficiency, greenhous e gases use and forestat ion. It is expected 
that, when fully operational, thes e projects would cont ribute to the avoida nce of up to 2 mn 
tons of CO2 every year. 
Summary of signatures by region- specific key lending objectives 
Objective 2007 2008 2009 Cumulative Total
 N° ops EURm N° ops EURm N° ops EURm N° ops EURm 
Support for EU presence in 
ALA (European FDI, transfer of 
European technology) 2 278 4 469 8 1029 14 1776
Support of environmental 
sustainability (i ncluding climate 
change mitigation) 1 27 2 200 5 730 8 957
TOTAL 3 305 4* 469* 9* 1147* 16* 1921*
* The above numbers cannot be added as a sing le operation may contribute to several 
objectives  
The 2007-2013 mandate introduced new focus ar eas for EIB activity in ALA, namely 
investments contributing to environmental sust ainability, including climate change mitigation, 
or to energy security. The EIB also continues to support the EU’s pres ence in the countries 
concerned through foreign direct investment a nd the transfer of t echnology and know-how. 
Moreover, the Council invited th e Bank to progressively expand its activities ac ross a larger 
number of countries in ALA, incl uding in less prosperous countries.  
Out of the nine operations signed under mandate in 2009, four operations in Asia and four 
operations in Latin America supported EU pres ence in ALA region, out of which five were 
also supporting environmental sustainability. As at end-2009, half of the cumulative financing 
volume signed under the mandate provided supp ort to environmenta l sustainability.  
Asia 
• In China, EUR 119 mn financing concerns on one hand, the reconstruction activities in the 
sector of forestry/biodiversity of around 101,500 ha of forest and, on the other hand, the 
removal and consolidation works of irrigati on and drinking water re servoirs of 528 dams 
that were affected by the May 2008 earthquake in the Sichuan Pr ovince. The project is part 
of the overall reconstruction program of the post-earthquake damaged areas set up by the 
Government of China. The Commission is invo lved in this program as well as several 
multilateral and bilateral institutions (i.a. IBRD, ADB, AFD, and IFAD), with whom the 
EIB coordinates its intervention.  
• In India, a EUR 100 mn loan finances invest ment in a new car manufacturing facility for 
the production of three small, advanced car m odels, adapted to the needs of the Indian 
market. The new models are not substitute s for those produced in European plants, 
therefore the project has no adverse effects on  employment in the EU. The project will 
contribute to the introduction of modern, fuel -efficient technology to India as some of the 
 
EN 31   EN engines that would be used are among the la test generation of lo w-emission technology, 
and will thereby enable the promoter to bene fit from the gradual tightening of the local 
legislation on emissions of greenhouse gases. 
• In Pakistan, the EUR 100 mn framework loan w ill support a series of investments in the 
renewable energy sector. It will be part of the government’s multi-year USD 2.2 bn 
investment programme to develop the renewa ble energy sector in Pakistan, and in co-
financing with a USD 510 mn Multi-tranche Financing Facility set up by the ADB. EIB-ADB collaboration in the project will allow the exploitation of synergies between both 
institutions and will minimise the transaction co sts to the borrower. As a matter of fact, this 
materialises the first mutual reliance arra ngement between the ADB and EIB. Under the 
Co-financing Agreement signed between the EIB and ADB, the EIB will be delegating to the ADB a series of tasks concerning loan administration and project monitoring. The programme is backed by technical assist ance from ADB, the World Bank and bilateral 
development agencies (USAID and GTZ). 
• Two operations were signed in Vietnam in 2009:  
 First, a EUR 100 mn framework loan, which was set after the successful 
implementation of the previous Line of Credit to Vietnam granted in 2005.  The framework loan will support a series of i nvestments that will contribute to either 
climate change mitigation, through projects in the renewable energy, energy efficiency 
and reforestation sectors, or to EU presence in Vietnam, through the financing of capital 
investment by EU companies and joint ventur es or through the transfer of European 
technology and know-how.  
 Second, a EUR 47 mn loan supports the expans ion plan of a large European retail and 
wholesale company in Vietnam, which was pa rtially financed by the Bank in an earlier 
operation in 2006, and aims at enlarging its re gional market penetra tion. It would help 
to modernise the distribution sector in Vi etnam. The project introduces EU quality and 
health control standards in the supply ch ain, as hygienic standards are particularly 
important to keep contro l of outbreaks of bird flu and SARS in Vietnam.  
Latin America 
• In Argentina, after the settle ment in 2008 of the six years ol d dispute on the late payment 
penalties on a loan extended to the Government, it became possible for the Bank to resume 
lending in this country. The EU FDI support loan  (EUR 170 mn) concerns  investment in an 
existing car manufacturing facility in the Grand Buenos Aires Region aimed at the 
production of a light commercia l vehicle conceived for the mixed transport of goods and 
passengers, specially adapted for use in th e severe road conditions of the region’s 
countryside. The new vehicles wi ll be equipped with the promot er’s latest advanced power 
train technology in terms of enhanced fu el consumption and carbon dioxide emissions 
levels; furthermore, they will comply with the promoter’s most advanced safety standards. There is not a similar model being produced in European plants, therefore the project is not 
expected to have adverse eff ects on employment in the EU.  
• In Colombia, EUR 100 mn was extended for th e financing of capacity and geographical 
expansion of an EDGE enabled mobile tel ecommunications network, and the introduction 
of a UMTS broadband mobile ne twork by the second-largest m obile operator in Colombia. 
It will extend the GSM and the UMTS networ k coverage, as well as allow for capacity 
 
EN 32   EN increases in the main cities. The core networ k will expand its capacity to provide services 
to 3 million new subscribers and a total of  over 18 000 million minutes per year. The 
project is expected to  benefit end users thr ough lower tariffs and higher quality broadband 
access services. The project also improves the competitive environment in Colombia by expanding mobile broadband access. Finally, by using UMTS and EDGE technology, the 
project also supports the EU policy regarding the international diffusi on of interoperable 
standards. 
• In Nicaragua, a EUR 15 mn loan contributes  to addressing various bottlenecks of the 
Nicaraguan electricity sector in key areas of generation  and transmission. The main 
investment components are the rehabilitatio n of two hydroelectric power plants, the 
extension and reinforcemen t of high and medium-voltage transmission lines and 
substations, the implementation of non-techni cal loss reduction program and the capacity 
building and preparation of studies for new investments in renewable energy. The project 
constitutes a showcase for the Bank’s activities in ALA under the new mandate, in particular because it is a clear example of EIB cooperation with other IFIs (IADB, CABEI) 
resulting in the preservation of the c ountry’s renewable generation sources and 
improvements in transmission and loss reductio n in one of the poorest country of Latin 
America. 
• In Panama, EUR 396 mn in financing was extende d for the construction of a third lane of 
larger locks and their access channels at each  end of the Panama Canal, complemented by 
the deepening and widening of existing naviga tion channels and the elevation of Gatun 
Lake’s maximum level, and the improvement  of existing navigation channels. The 
expansion of the canal’s capacity, a top priori ty project for the c ountry, is needed to 
manage the forecast growth in cargo volumes an d to enable the passage of larger container 
vessels, generating economies of scale and increasing productivity. The EIB loan is 
extended to the Autoridad del Canal de Pana ma, in co-financing w ith JBIC, IADB, IFC 
and CAF. EIB’s participati on is justified on the grounds that, on one hand, European 
companies and technology will be involved in the implementation of the project and, on 
the other hand, because of the project's releva nce in reducing CO2 em issions in the long 
term.  
2.7.5 Republic of South Africa Summary of signatures by region- specific key lending objectives 
 2007 2008 2009 Cumulative Total
Objective N° ops EURm N° ops EURm N° ops EURm N° ops EURm 
Support for infrastructure 
projects of public interest - 0 1 150 3 220 4 370
   
Direct support for private 
sector, SMEs - 0 3 203 2 100 5 303
   
TOTAL - 0 3* 203* 4* 280* 7* 483*
 
EN 33   EN * The above numbers cannot be added as a sing le operation may contribute to several 
objectives  
EIB financing in the Republic of South Africa fo cuses on priority infrastructure investment 
programmes and the promotion of private sector  growth. Three of the four operations signed 
in 2009 are support for infrastructure projects of  public interest and tw o provided support for 
the private sector.  
Sources of finance for SMEs in South Africa are limited, especially fo r longer-term loans and 
more risk-taking financial instruments. About  two thirds of SMEs in the country do not 
receive debt financing from th e formal financial sector. Acco rdingly, the EIB contributes to 
improve access to financial services for the unde rserved SME sector notably through credit 
facilities to the Industrial Deve lopment Corporation (IDC), a key partner for EIB financing in 
South Africa. A line of credit extended to  IDC in May 2009 provided EUR 60 mn for on-
lending to small and medium scale pr ojects throughout South Africa.  
Estimates suggest that one third of househol ds in South Africa (some 16 million people) 
either do not have access to electricity or receive  a level of electricity services that is not 
adequate. In addition, 3.6 million households do not benefit from adequate levels of sanitation services, while 1.8 million households do not have  access to running water. However, many 
municipalities in the country ar e challenged with insufficient funds to provide these basic 
social and economic services. To address such  needs, the EIB extended, in June 2009, a EUR 
60 mn line of credit to the Development Bank of Southern Africa (DBSA). This loan will 
enable DBSA to provide the longer-term fundi ng needed, especially in support of those 
municipalities with serious infrastructure ba cklogs and difficulties in delivering basic 
services, including water, sanita tion, education and electricity. DBSA expects the EIB line of 
credit to benefit over 150,000 households through connections to one or several basic infrastructure services and to create over 6,000 new jobs. 
In 2009 EIB also signed a EUR 120 mn loan for the upgrade and extension of two toll roads 
in northern South Africa. The projects are of st rategic importance to South Africa’s transport 
infrastructure. The planned improvements and extensions contribute to enhance economic 
competitiveness as a result of reduced tran sportation costs and travel times and bring 
significant safety benefits as well as creating direct and indi rect employment opportunities.  
Finally, in November 2009 the Bank signed a EUR 40 mn framework loan with FirstRand 
Bank to support clean energy investments in S outh Africa. This marks the first dedicated 
energy efficiency loan made by the EIB in South Africa. It will enhance South Africa’s 
contribution to combating climate change and facilitates economic development through 
improving the reliability of electri city supply in the country. The loan targets investments in a 
range of climate change mitigation activitie s. Specific focus will be on industrial 
cogeneration, but projects are also likely to include support for renewable energy schemes, 
waste or landfill gas for heat and power genera tion, and energy efficiency installations in 
residential, public or commercial buildings. 
2.8 List of EC-EIB initiatives / partnerships  in the regions covered by the external 
mandate 
This section provides an overview of the main  initiatives, partnerships and instruments 
complementing the EIB external mandate within which the Commission and the EIB 
 
EN 34   EN cooperated in 2009 with the aim to maximise s ynergies and to provide coherent support for 
the regions outside the EU.  
Pre-Accession Countries 
– The Commission and the EIB together with the EBRD and the CEB have prepared the 
launch of the Western Balkans Investment Framework  with its two key components the 
Joint Grant Facility and the Joint Lending Facility. Its goal is to further enhance 
harmonisation and co-operation in investments for socio-economic development in the region. 
– Following EBRD’s decision to start operations in Turkey  as from November 2008, the 
EC, EBRD and EIB entered into an " Accord " to ensure the optimum use of EBRD’s 
additional resources, knowledge and expertise wi th the aim to maximise the contribution of 
the institutions to meet Turkey’s considerable and varied economic needs. 
– The South East Europe Energy Efficiency Fund  (S4EF) was established end 2009 to 
finance investments in energy efficiency in Pre-Accession, with a model similar to the 
European Fund for South East Europe (EFSE). 
– The Energy Efficiency Finance Facility  (EEFF) was launched in 2006 to tackle the 
Climate Change issue. It aimed at stimulating energy efficiency investments in all types of 
building and in industry by making appropriate  financing available. The EEFF combines 
IFI credit lines extended to financial intermed iaries with incentives to improve the cost 
effectiveness of equipment and make the energy investment more attractive, and fees to the 
benefit of local financial intermediaries to encourage them to lend for the purpose of energy efficiency financing. 
– Since 2001, the Commission and th e EIB are co-operating under the SME Finance 
Facility  (SMEFF), merging the grant support with the EIB lending to help developing the 
SME lending capacities of Participating Financial Institutions in the eligible countries. At 
end 2009, the EIB’s total grant availa ble for the SMEFF under the PHARE
4 Program was 
EUR 69 mn, and the EIB has committed to provide  debt financing of at least EUR 690 mn.  
– Since 2003, the Municipal Finance Facility  (MFF) aims to encourage local financial 
intermediaries to extend loans to municipalities. The mechanism of the programme is similar to the SMEFF. The total grant contri bution made available by the EC has reached 
EUR 55.8 mn and the EIB lending commi tment is at least EUR 279 mn.  
– Also since 2003, the Municipal Infrastructure Facility  (MIF) aims to contribute towards 
the social and economic development of borde r regions of the EU-15 Member States. To 
this end, the MIF combines loans from EIB re sources with non-reim bursable grant support 
to accelerate the completion of small local  infrastructure. The second Contribution 
Agreement signed in 2004 between the Co mmission and the EIB extends the EU 
contribution to a total of EUR 40 mn and th e EIB lending commitment to a total of EUR 
200 mn.  
                                                
 
4  Poland and Hungary Aid for the Reconstruction of the Economy (“PHARE”).  
 
EN 35   EN Neighbourhood countries and Russia 
– In the Neighbourhood countries5 where a European Neighbour hood Policy Action Plan is 
in place, the Commission and the EI B cooperate in the framework of Neighbourhood 
Investment Facility  (NIF), which mobilises additional funding for infrastructure projects 
mainly in the energy, transport, environment and social sectors in the area of the European 
Neighbourhood Policy by providing grant support for lending operations of the EIB and 
other EU public finance instit utions. The EIB also manages the NIF Trust Fund (signed on 
5 November 2008) to pool the additional contributions from the Member States and possibly other donors.  
Mediterranean neighbourhood 
– The Commission and the EIB closely cooperate  in the framework of the priorities 
established under the Union for the Mediterranean . 
– For the Mediterranean countries, the EIB manages in the context of FEMIP and on behalf 
of the EU, a budgetary envelope of EUR 32 mn  per year under the South regional ENPI 
programme for risk capital investments and technical assistance . In 2009, 17 TA 
operations of a total value of EUR 12.2 mn  were contracted under the FEMIP Support 
Fund. Risk capital operations signed under this envelope amounted to EUR 22 mn in 2009.  
– The FEMIP Trust Fund  (a financial envelope of EUR 34.5 mn funded by contributions of 
15 Member States and the Commission) pr ovides resources to upstream technical 
assistance in the form of strategic thematic studies and risk capital  operations specialising 
in seed capital. It focuses its activities on two priority object ives: private sector 
development and the creation of an investment -friendly environment in the Mediterranean 
region. In 2009, 6 new TA opera tions amounting to EUR 3.3 mn were contracted. 
Additionally, an EUR 5 mn equ ity participation in a region al venture capital fund was 
signed. 
Eastern Neighbourhood and Russia 
– The Commission and the EIB closely cooperate in the framework of flagship initiatives 
established under the EU Eastern Partnership . 
– In the Eastern Neighbourhood a nd Russia, cooperation under the EC-EIB-EBRD 
tripartite MoU  continued, with joint banks’ pipeli ne and agreement on the framework 
policies for each eligible sect or (transport, energy, environment, telecommunications). 
– Under the aegis of the Northern Dime nsion policy, the Northern Dimension 
Environmental Partnership (NDEP)  unites Russia, the Commission, other bilateral 
donors and the main IFIs active in the re gion to co-ordinate and accelerate the 
implementation of important environmental an d nuclear safety projects in the Northern 
Dimension, especially in North West Russi a and in Kaliningrad. The Commission and the 
EIB (together with Russia, EBRD, Nordic  Investment Bank (NIB), the Nordic 
Environment Finance Corporation (NEFCO) and the World Bank) are members of the 
                                                
 
5  Armenia, Azerbaijan, Egypt, Georgia, Jordan, Lebanon, the Republic of Moldova, Morocco, occupied 
Palestinian territory, Tunisia and Ukraine. 
 
EN 36   EN NDEP Steering Group, the main operative body. Mo st EIB loans signed with Russia so far 
are NDEP projects, co-financed with the EBRD and NIB. A new initiative, the Northern 
Dimension Partnership for Tr ansport and Logistics (NDPTL) , was launched in 
October 2009 with the aim of providing supp ort for planning and de cisions concerning 
infrastructure of importance to cross-border transportation in the Northern Dimension region. 
– Eastern Europe Energy Efficiency and Environmental Partnership (5E’s) - Involved 
in the 5E’s are a whole host of bilateral donor s, the Commission, Ukrain e and IFIs such as 
the EIB, the EBRD, NIB, NEFCO and the World Bank/IFC. Work in the 5E’s will initially 
focus on the financing of large public projects in  Ukraine, especially in the district heating 
sector. Other energy and environmental meas ures may also be e ligible for support. 
Central Asia 
– As for the Eastern Neighbourhood, the EIB operat ions in Central Asia are developing in 
the framework of the EC-EIB-EBRD tripartite MoU. The focal priorities are energy and 
environment. 
South Africa 
– In support of South Africa, the EIB has a ssisted the Commission in the design and 
implementation of dedicated EU funded risk cap ital facilities for South African SMEs. The 
second Risk Capital Facility  (RCF II) for an amount of EU R 50 mn and for a period of 
five years was set up at end-2006 and, thanks  to the excellent cooperation between the 
Commission and the EIB, is being implemented according to schedule and meeting its main Key Performance Indicators.  
Global 
– The Global Energy Efficiency and Renewabl e Energy Fund (GEEREF) is an innovative 
fund of funds sponsored by the Commission, Germany and Norway and advised by the 
EIB and EIF to provide clean energy to emerging countries and economies in transition. 
GEEREF made its first commitments in 2009  (EUR 22.5 mn to a renewable energy Asia 
fund and for clean energy investments in Southern Africa). 
 
EN 37   EN 2.9 List of projects signed in 2009 and co -financed with the Commission and other 
IFIs 
Country Contract nameYear of 
signatureProject costEIB loan 
signed Multilateral 
Financing 
InstitutionsEuropean 
Bilateral 
InstitutionsEC contri-
butions
Pre-Accession countries 8689, 20 2228,09
Montenegro ROADS AND BRIDGES REHABILITATION A3 2009 79, 00 30,00
Montenegro MONTENEGRO SOLID  W ASTE 2009 54, 00 27,00
Serbia CORRIDOR X SOUTH SERBIA 2009 969, 30 384,00
Serbia BELGRADE CITY SAVA BRIDGE / A 2009 404, 90 70,00
Turkey ISTANBUL-ANKARA RAILWAY E and F 2009 2566,00 293,17
Turkey SME DEVELOPMENT LOAN 2009 800, 00 400,00
Turkey ISTANBUL-ANKARA RAILWAY D, E and F 2009 2566, 00 598,92
Turkey TEDAS ELECTRICITY DISTRIBUTION C 2009 650, 00 125,00
Turkey ENVI RONMENT & ENERGY FRAMEWORK LOAN II 2009 600, 00 300,00
Neighbourhood countries & Russia 8371,88 1517,36
Egypt WIND FARM GULF OF EL ZAYT 2009 340, 00 50,00
Egypt IWSP 2009 295, 10 70,00
Morocco AUTOROUTES DU MAROC VI (MAROC) 2009 452, 30 225,00
Morocco TRAMWAY RABAT 2009 347, 10 15,00
Morocco PRET CADRE SECTEUR EDUCATION MAROC 2009 3.088, 00 200,00
Jordan SOUTH-NORTH WATER CONVEYOR 2009 841, 00 166,00
Liban KESRWAN WATER AND WASTEWATER 2009 210, 00 70,00
Russia ST. PETERSBURG VODOKANAL III 2009 562, 20 17,50
Russia MTS MOBILE BROADBAND 2009 315, 50 115,00
Syria SYRIAN CEMENT COMPANY (A & B) 2009 506, 68 104,86
SyriaSYR IA MUN IC IPAL & EN VIRONM ENT  INFR ASTRU CTURE2009 100, 00 50,00
Tunisia AEROPORT ENFIDHA 2009 498, 00 70,00
Tunisia TUNISIAN INDIAN FERTILIZERS 2009 348, 00 130,00
Tunisia AUTOROUTE SFAX - GABES 2009 468, 00 234,00
Asia & Lati n America 5345, 00 782,00
Argentina VW ARGEN TIN A II- A 2009 371, 70 170,00
India VOLKSWAGEN INDIA 2009 574, 00 100,00
Nicaragua HYDRO REFURBISHMENT AND TRANSMISSION 2009 81,70 15,00
Pakistan PAKIST AN RENEWABLE EN ER GY FL 2009 200, 00 100,00
Panama PANAMA CANAL EXPANSION 2009 4117,60 397,00
TOTAL 22406, 08 4527,45
Turkey OSMANIYE WIND FARM 2009 221, 00 30,00
Pre-Accession 
countriesSE EUROPE ENERGY EFFICIENCY FUND, SICAV 2009 65, 00 25,00
TOTAL 286, 00 55,00
Regional - Med MENA JOINT INVESTMENT FUND 2009 360, 00 10,00
Regional - Med SWICORP INTAJ CAPITAL II 2009 297, 00 10,00
TOTAL 657, 00 20,00Co-financed operations under the 2007-2013 external lending mandate
Co-financed operations under EIB own risk Facilities
Co-financed risk capital operations (Community budget, ENPI)
 
 
EN 38   EN 2.10 List of projects signed in 2009 and co-financed with other IFIs 
Country Project Mandate / 
Funds Product Sector Project 
cost Amount 
signed Co-financed with Notes 
          EUR m EUR m     
 
PRE-ACCESSION 1684     
Turkey OSMAMNIYE WIND FARM Pre-
Accession 
Facility  Loan Energy 221 30 IFC, EBRD   
Turkey SME DEVELOPMENT LOAN  Mandate 
2007-2013 Loan  SMEs, 
medium 
sized 
projects 800 400   The EIB will finance EE projects under the EE FF 
window with the EC. The World Bank has entered into a parallel financing with same intermediaries for EE projects 
Serbia CORRIDOR X SOUTH SERBIA Mandate 
2007-2013 Loan  Transports 969 384 World Bank    
Montenegro ROADS AND BRIDGES 
REHABILITATION A3 Mandate 
2007-2013 Loan  Transports 79 30 EBRD 
KfW EAR  
Montenegro MONTENEGRO SOLID WASTE Mandate 
2007-2013 Loan  Water, 
sewerage 54 27 World Bank IPA National Programme 
IPF Municipal Window  
Turkey ISTANBUL-ANKARA RAILWAY 
E and F Mandate 
2007-2013 Loan  Transports 2566 293  Spanish Agency for 
International 
Cooperation  Total EIB financing signed 850m. Other sources of 
finance include the Commission, export credit agencies of Spain, the Export Import Bank of China.  
Turkey TEDAS ELECTRICITY 
DISTRIBUTION C Mandate 
2007-2013 Loan Energy 650 125 World Bank  Total EIB financing signed amounts to 325m. 
Turkey ENVIRONMENT & ENERGY 
FRAMEWORK LOAN II Mandate 
2007-2013 Loan Energy 600 300   The intermediaries re ceive parallel financing from similar 
facilities with World Bank 
 
EN 39   EN Serbia BELGRADE CITY SAVA 
BRIDGE / A Mandate 
2007-2013 Loan  Transports 405 70 EBRD    
Albania, Bosnia-
Herzegov., Croatia, Montenegro, FYROM, Serbia, Turkey SE EUROPE ENERGY 
EFFICIENCY FUND, SICAV Pre-
Accession 
Facility  Loan Services 65 25 KfW The fund concept has been developed jointly by EIB, 
KfW and EC, all of which are founder or cornerstone participants. 
SOUTHERN NEIGHBOURS  1121     
Tunisia AEROPORT ENFIDHA Mandate 
2007-2013 Loan Transport 498 70 IFC 
AfDB  
AFD-Proparco   
Tunisia TUNISIAN INDIAN 
FERTILIZERS Mandate 
2007-2013 Loan Industry $ 524m 130 IsDB   
Liban KESRWAN WATER AND 
WASTEWATER Mandate 
2007-2013 Loan Water 210 70 AFD NIF (4m) 
Jordan SOUTH-NORTH WATER 
CONVEYOR Mandate 
2007-2013 Loan Energy $ 1,070m 166 AFD-Proparco    
Syria SYRIAN CEMENT COMPANY 
(A & B) Mandate 
2007-2013 Loan Industry $ 682m 105 AFD-Proparco    
Egypt WIND FARM GULF OF EL 
ZAYT Mandate 
2007-2013 Loan Energy 340 50 KfW    
Egypt IWSP  Mandate 
2007-2013 Loan Water 295 70 KfW  
AFD    
Morocco AUTOROUTES DU MAROC VI 
(MAROC)  Mandate 
2007-2013 Loan Transport 452 225 AFESD   
Morocco TRAMWAY RABAT  Mandate 
2007-2013 Loan Transport 347 15 AFD  NIF (8m) 
 
EN 40   EN Morocco PRET CADRE SECTEUR 
EDUCATION MAROC  Mandate 
2007-2013 Loan Education 3,088 200 AFD  
WB  
AfDB  EC direct contribution and via NIF 
Regional - Med MENA JOINT INVESTMENT 
FUND  ENPI RC & 
TA Risk 
capital Services 360 10 IFC   
Regional - Med SWICORP INTAJ CAPITAL II  ENPI RC & 
TA Risk 
capital Services $ 400m 10 IFC 
AFD-Proparco    
EASTERN NEIGHBOURS AND PARTNER COUNTRIES 133     
Russia ST. PETERSBURG 
VODOKANAL III Mandate 
2007-2013 Loan Water 562 18 EBRD  
NIB    
Russia MTS MOBILE BROADBAND Mandate 
2007-2013 Loan ICT 316 115 EBRD  
NIB    
ASIA and LATIN AMERICA 782     
Panama PANAMA CANAL EXPANSION Mandate 
2007-2013 Loan Transport $ 5,250m 397 IFC  
IADB  
CAF   
Nicaragua HYDRO REFURBISHMENT 
AND TRANSMISSION Mandate 
2007-2013 Loan Energy $ 118.5m 15 IADB  
CABEI   
India VOLKSWAGEN INDIA Mandate 
2007-2013 Loan Industry 574 100 IFC 
KfW   
Pakistan PAKISTAN RENEWABLE 
ENERGY FL  Mandate 
2007-2013 Loan Energy 200 100 ADB   
Argentina VW ARGENTINA II- A Mandate 
2007-2013 Loan Industry 372 170 KfW    
 
EN 41   EN 2.11 List of loans signed under the external mandate in 2009 
List of loans signed in the Pre-Accession countries  
Country Project Description Loan 
Amount 
(EUR m) Political 
Risk 
Guarantee6 
Albania Financing of small and medium-scale projects 
through MLT loans 10.00 Yes 
Bosnia and 
Herzegovina Financing of small and medium-scale projects 
carried out by small and micro enterprises 10.00 Yes 
Bosnia and 
Herzegovina Financing of small and medium-scale projects 
carried out by SMEs     50.00 Yes 
Bosnia and 
Herzegovina Financing of small and medium-scale projects 
carried out by SMEs       50.00 No 
Bosnia and 
Herzegovina Financing of small and medium-scale projects 
carried out by SMEs       40.00 Yes 
FYROM Financing of small and medium-scale projects 
carried out by SMEs     100.00 No 
Montenegro Rehabilitation of roads and bridges throughout 
country       30.00 No 
Montenegro Financing of small and medium-scale projects 
carried out by SMEs       51.00 No 
Montenegro Creation of national sustainable waste 
management system       27.00 No 
Serbia Financing of small and medium-scale projects 
carried out by SMEs     250.00 No 
Serbia Financing of small and medium-scale projects 
carried out by SMEs       40.00 Yes 
Serbia Financing of small and medium-scale projects 
carried out by SMEs       50.00 Yes 
Serbia Construction of six 220 or 400 kV electricity 
substations       24.50 No 
Serbia Financing of small and medium-scale 
infrastructure projects       25.00 No 
Serbia Financing of small and medium-scale 
infrastructure schemes       10.00 Yes 
Serbia Construction of motorway section on Pan-
European Corridor X between Grabovnica and 
Levosoje in southern Serbia     384.00 No 
Serbia Construction of new Sava bridge and access       70.00 No 
                                                 
6  The Political Risk Guarantee column highlights the operations where, in contrast to sovereign or 
equivalent risk operations covered by the Comprehensive Guarantee, the EU budget guarantee covers defined political risks while the EIB assumes all other risks. 
 
EN 42   EN roads in Belgrade 
Serbia Lease financing of small and medium-scale 
infrastructure projects       20.00 Yes 
Serbia Financing of small and medium-scale projects 
carried out by SMEs       20.00 Yes 
Turkey Investment in academic research system of 
Republic of Turkey     335.00 No 
Turkey Financing of small and medium-scale projects, 
with particular focus on smaller businesses     150.00 No 
Turkey Financing of small and medium-scale projects 
carried out by SMEs     400.00 No 
Turkey Financing of environmental  and energy projects     300.00 No 
Turkey Construction of high-speed railway line between 
Istanbul and Ankara      293.17 No 
Turkey Upgrading and extension of  national electricity 
distribution networks     125.00 No 
   2,864.67  
 
 
EN 43   EN List of loans signed in the Mediterranean countries 
Country Project Description Loan 
Amount 
(EUR m) Political 
Risk 
Guarantee 
Egypt Framework loan for water supply and wastewater 
schemes in four governorates in Nile Delta 70.00 No 
Egypt Large-scale onshore wind farm on Red Sea coast, 
south-east of Cairo, to supply national power grid 50.00 No 
Israel Increase in production capacity of Hadera 
desalination plant 25.22 Yes 
Jordan Construction of water extraction and transport 
system, including 325 km pipeline, to supply 
drinking water mainly to Greater Amman area 73.67 No 
Jordan Construction of water extraction and transport 
system, including 325 km pipeline, to supply 
drinking water mainly to Greater Amman area       92.09 Yes 
Lebanon Construction of wastewater treatment plant, 
sewerage network and sea outfall in Tabarja, near 
Jounieh       70.00 No 
Morocco Construction of Rabat motorway bypass and 
widening of Rabat-Casablanca motorway     225.00 No 
Morocco Participation in 2009-2012 development plan for 
education system     200.00 No 
Morocco Construction of low-cost  vehicle manufacturing 
plant in Melloussa free economic zone, 30 km 
from port of Tangiers     100.00 No 
Morocco Construction of two tramway lines between Rabat 
and Salé       15.00 No 
Syrian Arab 
Republic Framework loan for investment schemes in Syrian 
cities       50.00 No 
Syrian Arab 
Republic Construction of cement plant on greenfield site 
near Aleppo     104.85 Yes 
Tunisia Construction of airport near town of Enfidha       70.00 Yes 
Tunisia Construction of toll motorway section from Sfax to 
Gabès in southern Tunisia     234.00 No 
Tunisia Construction of phosphoric acid plant close to 
existing plant (Skhira) near Gabès in south of 
Tunisia     130.00 Yes 
   1,509.83  
 
 
EN 44   EN List of loans signed in the Eastern Europe, Southern Caucasus and Russia 
Country Project Description Loan 
Amount 
(EUR m) Political 
Risk 
Guarantee 
Russian 
Federation Rollout of third-generation UMTS-based mobile 
broadband services     115.00 Yes 
Russian 
Federation Reduction of pollutant load discharged into Baltic 
Sea       17.50 Yes 
Ukraine Financing of small and medium-scale projects 
carried out by SMEs     100.00 Yes 
      232.50  
 
List of loans signed in Asia and Latin America 
Country Project Description Loan 
Amount 
(EUR m) Political 
Risk 
Guarantee 
Argentina Production of light commercial vehicle on Pacheco 
site (greater Buenos Aires region)     170.00 Yes 
China Reforestation schemes and repair of irrigation 
reservoirs in earthquake-damaged areas of 
Sichuan province     118.57 No 
Colombia Roll-out of EDGE-enabled (enhanced data rate for 
GSM evolution) mobile telecommunications 
network     100.00 Yes 
India Construction of new car plant for production of 
three small efficient models in state of 
Maharashtra     100.00 Yes 
Nicaragua Rehabilitation of hydropower plants and upgrading 
of Nicaragua's electricity transmission network       15.05 No 
Pakistan Framework loan for investments in renewable 
energy sector  in Pakistan, contributing to climate 
change mitigation     100.00 No 
Panama Construction of third lane of large locks and 
improvement of existing navigation channels to 
expand capacity of Panama Canal     396.57 No 
Viet Nam Construction of five whol esale stores as part of 
company's expansion programme in Vietnam       47.00 Yes 
Viet Nam Framework loan for supporting series of 
investments mainly contributing to climate change 
mitigation (through renewable energy and energy 
efficiency projects)     100.00 No 
   1,147.19  
 
 
EN 45   EN List of loans signed in the Republic of South Africa 
 
Country Project Description Loan 
Amount 
(EUR m) Political 
Risk 
Guarantee 
South Africa Financing of municipal infr astructure projects in 
South Africa       60.00 No 
South Africa Financing of small and medium-scale projects       60.00 No 
South Africa Framework loan for part-financing energy 
efficiency and renewabl e energy projects       40.00 Yes 
South Africa Extension and upgrading of national road network 
in northern South Africa     120.00 No 
      280.00