COMMISSION STAFF WORKING DOCUMENT Accompanying the document Report from the Commission to the European Parliament and the Council on the common provisioning fund in 2024
Date: 2025-06-06
Institutions: Directorate-General for Budget, European Commission
Subjects: EU budget, budgetary reserve (EU), financial management, fund (EU), investment, multiannual financial framework, provision, reserves

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 6.6.2025  SWD(2025) 100 final  COMMISSION STAFF WORKING DOCUMENT Accompanying the document Report from the Commission to the European Parliament and the Council on the common provisioning fund in 2024 {COM(2025) 400 final}  
 
 
TABLE OF CONTENTS 

1. 

INTRODUCTION .............................................................................................................................................. 1 

2. 

EVOLUTION OF THE CPF PORTFOLIO IN 2024 .............................................................................. 1 

3. 

FINANCIAL STATEMENTS .......................................................................................................................... 1 

Assets of the CPF ......................................................................................................................................... 1 

Balance sheet ................................................................................................................................................. 1 

Asset structure and value of compartments ................................................................................. 2 

Financial performance ............................................................................................................................... 5 

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1. 

INTRODUCTION 

This  staff  working  document  (SWD)  accompanies  the  annual  report  on  the  common 
provisioning fund (CPF) for 2024 and presents the financial statements of the fund. 

2.  EVOLUTION OF THE CPF PORTFOLIO IN 2024 

CPF  is  the  largest  of  the  Commission  managed  portfolios  with  asset  value  of  EUR 23.26 
billion at year-end. In 2024, the CPF received EUR 3.653 billion net contributions (2023: EUR 
3.526  billion).  

The  CPF  comprises  eighteen  compartments,  corresponding  to  provisions  established  by 
different  EU  legislative  instruments,  out  of  which  two  were  opened  in  2024.  Fifteen 
compartments are currently fully active and contain funds. The remaining three non-active 
compartments will be activated upon reception of corresponding first inflows. 

3.  FINANCIAL STATEMENTS 

Assets of the CPF 

The net assets of the CPF stood at EUR 23.18 billion on 31 December 2024. The main assets 
were debt securities and investment funds, classified as fair value through surplus or deficit 
(EUR 23.17 billion). 

Balance sheet 

ASSETS (in EUR) 

31 December 2024 

31 December 2023 

NON-CURRENT ASSETS 
20 433 409 181 
Financial assets at fair value through surplus or deficit 
20 433 409 181 
Securities 
Derivatives 
- 
Financial assets at fair value through surplus or deficit   
Securities 
Derivatives 
Receivables 
Cash and cash equivalents 
 Current accounts 
 Cash equivalents  
 Accrued interest on cash and cash 
equivalents 
TOTAL ASSETS  

2 740 175 712 
- 
394 758 
88 700 711 
84 309 101 
4 138 993 

23 262 680 362 

252 617 

15 162 667 146 

15 162 667 146 
- 

3 535 639 678 
38 900 368 
337 689 
59 319 185 
23 034 850 
36 018 100 

266 235 

18 796 864 066 

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NET ASSETS AND LIABILITIES (in EUR) 

(A) NET ASSETS 
Contribution from EU Budget 
Retained earnings 
Economic result of the year 

31 December 2024 

31 December 2023 

23 180 569 085 
22 849 573 929 
-424 445 486 

18 796 615 295 
19 221 060 781 
-1 300 007 519 

755 440 642 

875 562 033 

82 111 277 

(B) CURRENT LIABILITIES 
Financial liabilities at fair value through surplus or deficit 
Derivatives 
Payables 
Payables to the EU budget 
(intracompany) 
Other payables 
(A+B) TOTAL NET ASSETS  
AND LIABILITIES 

21 526 134 
248 771 

23 262 680 362 

60 299 149 

285 994 

248 771 

- 
248 771 

- 

248 771 

18 796 864 066 

Asset structure and value of compartments 

Top (AAA) rated securities correspond to 40.7% of total assets. Cash and cash equivalents 
represent 0.6% of the total portfolio value. The average credit quality of CPF at the end of 
2024 was A, while the average one year default probability was 0.04%. The sensitivity of the 
portfolio to interest rate changes (i.e. the “modified duration”) was slightly lower than that of 
the  benchmark;  in  particular,  the  modified  duration  of  the  portfolio  was  3.42,  while  the 
duration of the benchmark stood at 3.49 at the end of December 2024. 

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Figure 1: CPF portfolio in 2024 – split by credit rating 

Figure 2: CPF portfolio allocation by asset class vs. benchmark (1) 

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At  the  end  of  2024,  the  CPF  consisted  of  eighteen  compartments  (with  three  non-active 
compartments). Each active compartment holds a number of CPF units or shares in the CPF 
of a standard size. Changes in the market valuation of the CPF are reflected in the price of 
the units referred to as the Net Asset Valuation, reflecting the market valuation of the assets 
belonging to each compartment at the end of each month. 

Table 1: Value of compartments 

Compartment as of 
31.12.2024 

Contributions less 
redemptions (2)  
in EUR 

Number of 
units 

Market Value  
in EUR 

EFSD 

EFSD+ 

EFSI 

GFEA 

774 451 444 

77 607 

761 545 053 

2 771 418 744 

299 829 

2 942 175 755 

8 971 173 661 

904 968 

8 880 303 796 

3 250 591 203 

328 722 

3 225 691 236 

INVESTEU 

5 315 295 489 

563 562 

5 530 142 834 

INVESTEU - Bulgaria 

75 800 000 

8 119 

79 674 707 

INVESTEU - Blending 

636 733 472 

67 977 

667 045 123 

INVESTEU - Czech R. 

INVESTEU - Finland 

41 660 974 

28 771 000 

4 494 

3 124 

44 099 187 

30 657 774 

INVESTEU - Greece 

244 700 000 

25 702 

252 204 112 

INVESTEU - Malta 

7 444 814 

809 

7 939 418 

INVESTEU - Romania 

179 000 000 

19 156 

187 974 119 

MFA post-2020 

MFA Ukraine 

118 800 000 

13 112 

128 662 218 

233 733 128 

24 516 

240 575 443 

Ukraine Guarantee 

200 000 000 

20 573 

201 878 310 

Total CPF 

22 849 573 929 

2 362 270  23 180 569 085 

(1)  Benchmark: expresses strategic asset allocation for the CPF based on the CPF investment horizon and CPF 

risk appetite. It provides long-term investment guidance to the CPF portfolio managers.  

Bucket 0: short-term assets with maturities comprised between 0 and 1 year. 

(2)  Outflows from the CPF. 

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Table 2: Annual performance and NAV per unit 

NAV per unit in EUR 

31.12.2023 

31.12.2024 

9 475.55849 

9 812.83371 

Annual performance in % 

since 31.12.2023: 

3.559 

Financial performance 

The CPF ended the year with a financial result of EUR 778.8 million and an economic result 
(financial result minus net operating expenses) of EUR 755.4 million. 

The bulk of the financial revenue was generated by a gain on securities of EUR 867.4 million, 
which consists of EUR 773.0 million positive market value changes increased by a net gain 
EUR 94.4 million from the foreign exchange valuation of the USD investments. Together with 
interest received on cash holdings (EUR 4.8 million) and sundry items of EUR 3.2 million (e.g., 
securities lending) the financial revenue amounted to EUR 875.4 million. From this must be 
subtracted the financial expenses and the operating result: (a) negative fair value changes 
of derivatives used for hedging the currency risk of the USD investments (EUR 93.6 million), 
(b) financial expenses (EUR 3.0 million), mainly custody fees for securities holdings, and (c) 
net operating expenses (EUR 23.4 million) reflecting net losses and costs linked to holding 
USD-denominated assets (3). 

(3)  USD-denominated  assets  are  hedged  against  currency  risk.  Accordingly,  foreign  exchange  gains  of  
EUR 94.4 million are partially offset by: (a) EUR 116.9 million losses resulting from the transactions for 
hedging  the  currency  risk  of  USD-denominated  holdings  (EUR  -93.6  million  from  FX  forwards  and  
EUR -23.3 million from factors such as the settlement of associated FX spot transactions), as well as (b) 
other gains (e.g. higher yield) from holding USD-denominated assets. 

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Statement of financial performance 

The table below presents the statement of financial performance for the year ending at 31 
December 2024 (amounts expressed in EUR). 

2024 

2023 

Revenue from operating activities 

6 209 827 

16 220 758 

Foreign exchange gains 

6 209 827 

16 220 758 

Other revenue from operating activities 

- 

- 

Expenses from operating activities 

(29 581 290) 

(24 881 660) 

Foreign exchange losses 

(29 562 115) 

(24 865 685) 

Other expenses from operating activities 
     Audit fees 
RESULT FROM OPERATING ACTIVITIES 

(19 175) 
(19 175) 
(23 371 463) 

(15 975) 
(15 975) 
(8 660 902) 

Financial revenue  
Interest revenue on cash and cash 
equivalents 
Other financial income - fair value changes 
of securities 
Other financial income - fair value changes 
of derivatives 
Dividend income 
Security lending income 
Settlement penalties received 

875 414 887 
4 826 437 

887 583 340 
4 182 105 

867 422 026 

856 713 839 

- 

21 688 217 

136  
3 117 000 
49 288 

-  
4 942 301 
56 878 

Financial expenses  
Interest expenses on cash and cash 
equivalents 
Other financial expenses - fair value changes 
of securities 
Other financial expenses - fair value changes 
of derivatives 
Custody fees and other financial expenses 
FINANCIAL RESULT 
ECONOMIC RESULT OF THE YEAR 

(96 602 782) 
(34 838) 

(3 360 405) 
- 

- 

(93 600 193) 

(2 967 751) 
778 812 105 
755 440 642 

- 

- 

(3 360 405) 
884 222 935 
875 562 033 

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