Proposal for a Council Decision granting a Community guarantee to the European Investment Bank against losses under loans for projects in the former Yugoslav Republic of Macedonia and amending Council Decision 97/256/EC granting a Community guarantee to the European Investment Bank against losses under loans for projects outside the Community (Central and Eastern Europe countries, Mediterranean countries, Latin American and Asian countries and South Africa) (98/C 108/01) COM(98) 2 final - 98/0006 (CNS)

(submitted by the Commission on 18 January 1998)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 235 thereof,

Having regard to the proposal of the Commission,

Having regard to the opinion of the European Parliament,

Having regard to Council Decisions of 27 November 1997 concerning the conclusion of a cooperation agreement between the European Community and the former Yugoslav Republic of Macedonia and a transport agreement between the same parties,

Whereas the cooperation agreement includes a Protocol on financial cooperation which provides for the European Investment Bank (EIB) to grant loans from its own resources up to a ceiling of ECU 150 million until 31 December 2000;

Whereas Council Decision 97/256/EC grants the EIB a budget guarantee for lending from its own resources in specified regions outside the Community; whereas the budget guarantee should be extended to cover the Bank loans agreed in the Protocol on financial cooperation with the former Yugoslav Republic of Macedonia;

Whereas the Council is calling on the Bank to finance projects according to the arrangements set out in the Protocol on financial cooperation by offering it the guarantee provided for in this Decision;

Whereas Decision 97/256/EC should therefore be amended;

Whereas, for the purpose of adopting this Decision, the only powers provided for by the Treaty are those set out in Article 235,

HAS DECIDED AS FOLLOWS:

Article 1

Council Decision 97/256/EC is hereby amended as follows:

1. in the title of Council Decision 97/256/EC, '. . . Asian countries and South Africa` is replaced by '. . . Asian countries, South Africa and the former Yugoslav Republic of Macedonia`;

2. in the first paragraph of Article 1(1), '. . . Asian countries, and in the Republic of South Africa.` is replaced by '. . . Asian countries, in the Republic of South Africa and in the former Yugoslav Republic of Macedonia.`;

3. in the second paragraph of Article 1(1), 'ECU 7 105 million`, is replaced by 'ECU 7 255 million,`;

4. the following fifth indent is added to Article 1(1):

'- former Yugoslav Republic of Macedonia ECU 150 million,`;

5. in the second paragraph of Article 1(1), '. . . Asian countries, and on 1 July 1997 for the Republic of South Africa,` is replaced by '. . . Asian countries, on 1 July 1997 for the Republic of South Africa, and on 1 January 1998 for the former Yugoslav Republic of Macedonia.`;

6. the following sixth indent is added to Article 1(2):

'- former Yugoslav Republic of Macedonia.`

Article 2

The corresponding amendments shall be made to the agreement concluded between the Commission and the EIB referred to in Article 5 of Council Decision 97/256/EC.

Article 3

This Decision shall take effect on the day of its publication in the Official Journal of the European Communities.