REPORT FROM THE COMMISSION TO THE COUNCIL AND THE EUROPEAN PARLIAMENT on the rate of utilization of European Investment Bank loans for projects in: A. Central and eastern European countries: Poland, Hungary, the Czech Republic, the Slovak Republic, Romania, Bulgaria, Estonia, Latvia, Lithuania and Albania (from 1.1.1996 to 30.6.1996) and B. South Africa (from 1.1.1996 to 30.6.1996)
Date: 1996-12-13
Institutions: European Commission
Subjects: Central and Eastern European countries, EIB loan, South Africa, investment project, investment protection

COMMISSION OF THE EUROPEAN  COMMUNITIES 

Brussels,  13.12.1996 
COM(96) 688  final 

REPORT FROM THE COMMISSION  TO THE COUNCIL 
AND THE EUROPEAN  PARLIAMENT 

on the rate of utilization of European Investment Bank loans for projects in: 

Central and eastern  European countries: Poland,  Hungary,  the Czech Republic,  the 
Slovak Republic,  Romania,  Bulgaria,  Estonia,  Latvia,  Lithuania and Albania  (from 
1.1.1996 to 30.6.1996) 

and 

B. 

South Africa (from  1.1.1996 to 30.6.1996) 

A.  REPORT FROM THE COMMISSION  TO THE COUNCIL 

AND THE EUROPEAN PARLIAMENT 

on the rate of utilization of European Investment Bank loans for  projects 
in central and eastern European countries (Poland,  Hungary, 
the Czech Republic, the Slovak Republic, Romania,  Bulgaria,  Latvia, 
Estonia,  Lithuania and Albania) 

(from  1.1.1996 to 30.6.1996) 

1. 

Introduction 

Council  Decision 93/696/EC  of  13 December  1993  (OJ No L 321  of  23.12.1993) 
grants  in  full  the  Community  guarantee  to  the  European  Investment  Bank  (EIB) 
against losses under  loans for projects  in central and eastern Europe for  a maximum 
loan ceiling  of  ECU 3 000  million  over  an  indicative  three-year  period.  The  loan 
guarantee  ceiling  includes  the  provisions  laid  down  in  respect  of  investments  in 
Estonia,  Latvia and Lithuania by Council Decision 93/166/EC of  15 March  1993. 

Council  Decision 93/696/EC  requires  the  Commission  to  draw  up  a  six-monthly 
report  on  the  situation  regarding  loans  signed  under  the  guarantee.  The  present 
report covers the period from 1  January to 30 June 1996. 

2. 

EIB lending 

2.1  During  the first half of  1996 the Bank signed 3 loans financed  out of own resources 
for  a total of ECU  121 million in central and eastern  Europe.  The list of operations 
signed  during  the period  and  the  description  of  the  projects  are  given  in  the  table 
below.  As  the  table shows,  the  loan  to  Estonia,  although  signed  on  1 July  1996, 
has been included in the present report. 

2.2 

As at  1  July  1996, the loan contracts signed by the Bank under  the current  mandate 
amounted to ECU 2 015 million. 

L 

CENTRAL AND EASTERN EUROPE 

Operations signed in the period  1  January-30 June 1996 on the basis of the Council Decision of 13 December  1993 (93/696/EC) 

COUNTRY 

PROJECT  NAME 

DATE OF 
SIGNATURE 

AMOUNT 
SIGNED 
(ECUm) 

DESCRIPTION 

ESTONIA 

Railways 

1.07.1996 

16 

Rehabilitation of about 58 km of several Estonian 
sections of the main railway line Talinn-Narva. 

HUNGARY 

M3 toll motorway 

31.05.1996 

95 

LITHUANIA 

Gas distribution 

18.03.1996 

10 

U 

TOTAL 

121 

Upgrading of 56 km and construction of 44 km of 
dual two-lane motorway between Budapest and 
Fuzesabony in north-eastern Hungary. 

Construction of natural gas transmission and 
distribution pipelines. 

B.  REPORT  FROM  THE  COMMISSION  TO THE  COUNCIL 

AND THE EUROPEAN  PARLIAMENT 

on the rate of utilization of European Investment Bank 
loans for projects in South  Africa 

(from  1.1.1996 to 30.6.1996) 

1. 

Introduction 

Council Decision 95/207/EC of  1  June  1995 (OJNo L  131 of  15.6.1995) grants in full  the 
Community guarantee to the European  Investment  Bank  (EIB)  against  losses under  loans 
for  investment  projects  in  South  Africa  for  a  maximum  loan  ceiling  of  ECU 300  million 
over an indicative two-year period. 

The  Council  Decision  requires  the  Commission  to  draw  up  a  six-monthly  report  on  the 
situation  regarding  loans  signed  under  the  guarantee. 
The  present  report  covers  the 
period from 1  January to 30 June 1996. 

2. 

EIB lending 

2.1 

During the first half of  1996 the EIB  signed one loan financed out  of own resources for  a 
total of ECU 56 million in South Africa.  Details of the operation  signed  are given  in the 
table below. 

2.2 

At  30 June  1996 the  loan  contracts  signed  by the  Bank  under  the  mandate  amounted  to 
ECU  101 million. 

SOUTH AFRICA 

Operations signed in the period 1  January-30 June 1996 on the basis of the Council Decision of 1  June 1995 (95/207/EC) 

PROJECT  NAME 

DATE OF 
SIGNATURE 

AMOUNT 
SIGNED 
(ECUm) 

DESCRIPTION 

ESKOM transmission 

22.5.1996 

56 

Financing of a part of the electricity transmission 
network of ESKOM (South Africa's power utility) 

TOTAL 

56 

_.. 

ISSN  0254-1475 

COM(96) 688 final 

DOCUMENTS 

EN 

11 

Catalogue number  : CB-CO-96-699-EN-C 

ISBN 92-78-13694-8 

Office  for Official  Publications of the European Communities 

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