2000/688/EC: Council Decision of 7 November 2000 amending Decision 2000/24/EC so as to extend the Community guarantee granted to the European Investment Bank to cover loans for projects in Croatia
Date: 2000-11-07
Institutions: Council of the European Union
Subjects: Croatia, EIB loan, European Investment Bank, credit guarantee, financial loss, investment abroad

L 285/20

EN

Official Journal of the European Communities

10.11.2000

COUNCIL DECISION

of 7 November 2000

amending Decision 2000/24/EC so as to extend the Community guarantee granted to the European
Investment Bank to cover loans for projects in Croatia

(2000/688/EC)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European
Community, and in particular Article 308 thereof,

Having regard to the proposal from the Commission (1),

Having regard to the opinion of the European Parliament (2),

Whereas:

(1)

(2)

(3)

(4)

On 6 March 1995, the General Affairs Council adopted
negotiation directives for the conclusion of an economic
and trade agreement including a financial protocol with
Croatia. The financial protocol consisted of a special
EUR 230 million European Investment Bank (EIB) loan
facility for Croatia covering a five-year period. On 4
August 1995, the presidency of the Council announced
the suspension of the negotiations with Croatia on the
economic and trade agreement due to the start of mili-
tary operations in Krajina.

Recent developments, following the results of the parlia-
mentary and the presidential elections in early 2000,
have fundamentally changed the political scenario in
fully
Croatia. The new Croatian government
committed to implementing a political and economic
reform programme in line with the conditions of the
European Union Stabilisation and Association Process
for the countries of South-Eastern Europe.

is

The General Affairs Council of 24 January 2000 adopted
a specific statement on Croatia and re-iterated its readi-
ness to help Croatia meeting the challenges it faces in
relationship with the European
developing a closer
Union.

At the invitation of the General Affairs Council of 14
February 2000,
the Commission on 24 May 2000
adopted a report on the feasibility of opening nego-
tiations for a Stabilisation and Association Agreement
with Croatia. This report was endorsed by the General
Affairs Council of 14 June 2000 and followed by adop-
tion by the Commission on 19 July 2000 of a recom-
mendation to the Council on the opening of nego-
tiations.

(5)

is crucial

It
to demonstrate the European Union's
support to Croatia at this moment in implementing a
political and economic reform programme elaborated

(6)

(7)

(8)

(9)

after the elections of early 2000 in line with the Euro-
pean Union Stabilisation and Association Process, by
supporting Croatia's investment activities in infrastruc-
ture and private sector development.

is

It
therefore appropriate to provide a guarantee
mandate to the EIB to allow it to sign loan operations in
Croatia. The EIB has indicated its ability and willingness
to extend loans from its own resources in Croatia, in
accordance with its Statute.

On 31 October 1994 the Council adopted Regulation
(EC, Euratom) No 2728/94 establishing a Guarantee
Fund for external actions (3).

Council Decision 2000/24/EC (4) grants
the EIB a
Community guarantee against losses under loans for
projects outside the Community (Central and Eastern
Europe, Mediterranean countries, Latin America and
Asia and the Republic of South Africa).

That global guarantee covering the general EIB external
lending mandate laid down in Decision 2000/24/EC
should be extended to Croatia. The loan ceilings should
be increased in order to allow for the extension of
corresponding loan facilities to Croatia. Decision 2000/
24/EC should therefore be amended accordingly.

(10)

The Treaty does not provide, for the adoption of this
Decision, powers other than those under Article 308,

HAS DECIDED AS FOLLOWS:

Article 1

Article 1 of Decision 2000/24/EC is hereby amended as
follows:

1. The second sentence of the second subparagraph of para-

graph 1 shall be amended as follows:

(a) in the introductory part, ‘EUR 18 410 million’ shall be

replaced by ‘EUR 18 660 million’;

(b) in the first indent, ‘EUR 8 680 million’ shall be replaced

by ‘EUR 8 930 million’.

2. In the first indent of paragraph 2, ‘Croatia’ shall be inserted

after ‘Bulgaria’.

(1) OJ C 311 E, 31.10.2000, p. 329.
(2) Opinion delivered on 6 October 2000 (not yet published in the

Official Journal).

(3) OJ L 293, 12.11.1994, p. 1. Regulation as amended by Regulation

(EC, Euratom) No 1149/1999 (OJ L 139, 2.6.1999, p. 1).

(4) OJ L 9, 13.1.2000, p. 24.

10.11.2000

EN

Official Journal of the European Communities

L 285/21

This Decision shall take effect on the day of
Communitries.

its publication in the Official

Journal of

the European

Article 2

Done at Brussels, 7 November 2000.

For the Council

The President

L. FABIUS