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Joint technology Initiative for Clean Coal

EU Financial Instruments Supporting the Development of Technology Initiatives

Warsaw, 23 March 2007Vice President Ivan Pilip

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General Overview on the EIBEIB Profile

• The EIB is the EU long-term financing institution

• The EIB has been created by the Treaty of Rome in 1958

• The EIB is owned by the 27 EU member states

• The EIB is a policy driven institution (EU Commission, Council and EP)

• The EIB has a subscribed capital of EUR 164.8 bn

• The EIB collects its funds on the capital markets (2006: EUR 48 bn)

• The EIB signed loans amounting to EUR 45.8 bn in 2006

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General Overview on the EIBEIB Strategic Objectives

• Economic and social cohesion in an enlarged EU

• Environmental Protection and Improvement, including Climate Change and Renewable Energy.

• Implementing of the Innovation 2010 Initiative (i2i)

• Development of Trans-European and Access networks (TENs)

• SME Financing support

• Support of EU Development and Cooperation Policies in Partner Countries

General Lending Policy

• EIB follows a policy of close co-operation with the banking sector, including national and regional promotional banks.

• EIB financing always supports individual eligible investments of the beneficiaries.

Six Strategic Priorities

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Financing Innovation in Europe The Innovation 2010 initiative (i2i) has been founded in 2000 as a part of the Lisbon Agenda!

Private and Public Sector Investment in R&D

Human Capital Formation (Education & Training)

Development of Information and CommunicationTechnology (ICT)

SME/VC Financing (EIF)

The 4 strategic areas of i2i lending activities

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General OverviewImplementation of i2i

• EIB financing of i2i investment reached EUR 46bn since 2000

• Financing of RDI (public and private sector combined) is the largest component, with 61% of signatures in 2006.

• EIB has developed a strong base in RDI financing since 2000 upon which it will now develop more Value Added Products.

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2 000

4 000

6 000

8 000

10 000

12 000

14 000

2000 2001 2002 2003 2004 2005 2006

Approvals Signatures Disbursements

mEUR/year

Year

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The Risk Sharing Finance FacilityConclusion

Project/Promoter

Attractive financing costs due to AAA rating and non-profit status

Flexible terms and conditions (e.g. long repayment periods)

Financial Value Added

Project Due Diligence: Strong technical competencies

Know-how and track record in financial structuring

Know-How

Risk Sharing

The EIB can share risks with banks/promoters as appropriate

Product Innovations

Dialoque with banks and industry to develop suitable products