Council Regulation (EEC) No 1736/79 of 3 August 1979 on interest subsidies for certain loans granted under the European monetary system

COUNCIL REGULATION (EEC) No 1736/79  of 3 August 1979  on interest subsidies for certain loans granted under the European monetary system
THE COUNCIL OF THE EUROPEAN COMMUNITIES
,
Having regard to the Treaty establishing the European Economic Community, and in particular Article 235 thereof,
Having regard to the proposal from the Commission (1),
Having regard to the opinion of the European Parliament (2),
Having regard to the opinion of the Economic and Social Committee (3),
Whereas, on 18 December 1978, the Council adopted Regulation (EEC) No 3181/78 relating to the European monetary system (4);
Whereas, at its meeting of 4 and 5 December 1978, the European Council laid down that this system should include measures to strengthen the economies of the less prosperous Member States participating in it;
Whereas it is of prime importance in fulfilling this purpose that investment programmes and projects in infrastructure be carried out in these less prosperous Member States;
Whereas the loans by the European Investment Bank and those within the framework of Decision 78/870/EEC of 16 October 1978 empowering the Commission to contract loans for the purpose of promoting investment within the Community (5) are intended inter alia to finance investments in infrastructure ; whereas the rates of interest applied to these loans depend on the terms of the corresponding borrowings;
Whereas selected projects and programmes, mainly in infrastructure, in the less prosperous Member States effectively and fully participating in the mechanisms of the European monetary system could be more easily carried out if Community loans carrying interest rate subsidies financed by the general budget of the European Communities were available;
Whereas the European Council requested the Community institutions and the European Investment Bank to grant for a five-year period loans of 1 000 million European units of account a year on special terms, to aid investments in these Member States, those loans made by the Community institutions being within the framework of Decision 78/870/EEC;
Whereas the Community should, during this five-year period, participate in this action by granting interest subsidies on these loans;
Whereas special arrangements are needed for Member States which do not effectively and fully participate in the mechanisms of the European monetary system;
Whereas the European Investment Bank has agreed to participate in implementing this Regulation,