CEB and CDC to provide funds for the renovation of the social housing facilities “Young Workers’ Hostels”

© Pascal YUAN/Caisse des Dépôts

PARIS, 17-May-2018 — /EuropaWire/ — Rolf Wenzel, Governor of the Council of Europe Development Bank (CEB), and Eric Lombard, Director General of Caisse des dépôts et consignations (CDC), today signed a €150 million framework loan agreement to finance the renovation of the “Young Workers’ Hostels” (Foyers de jeunes travailleurs).

The “Young Workers’ Hostels” are collective social housing facilities run mostly by non-profit associations. They provide temporary accommodation to young persons aged 16 to 25 years (even up to 30 years), including young professionals, job-seekers and trainees. The programme offers accommodation to nearly 100,000 young persons every year, an estimated 80% of whom at the moment are living below the poverty line. 

The funds provided by the CEB will be used for the renovation and extension of some 150 to 200 housing units. The work to be carried out will help to improve the safety, weatherproofing and energy efficiency of the buildings concerned. It will also contribute to the upgrading of the heating, sanitary facilities and building structure. 

CDC Director General Eric Lombard said: “This agreement is part of the housing plan put in place by the Caisse des Dépôts in order to support social lenders. With this undertaking for the benefit of young workers, the Caisse des Dépôts,along with the CEB, is contributing to the fight against territorial divides and social inequality.”

CEB Governor Rolf Wenzel said: “Access to affordable housing and the job market is crucial when it comes to building a decent life. With this loan, CEB funds will support thousands of young persons, in line with the CEB’s social mandate and commitment to strengthening social cohesion. I am pleased that we are joining forces with Caisse des Dépôts, which plays a major role in French public financing.”

Set up in 1956, the CEB (Council of Europe Development Bank) has 41 member states. Twenty-two Central, Eastern and South Eastern European countries, forming the Bank’s target countries, are listed among the member states. As a major instrument of the policy of solidarity in Europe, the Bank finances social projects by making available resources raised in conditions reflecting the quality of its rating (Aa1 with Moody’s, outlook stable, AA+ with Standard & Poor’s, outlook positive and AA+ with Fitch Ratings, outlook stable). It thus grants loans to its member states, and to financial institutions and local authorities in its member states for the financing of projects in the social sector, in accordance with its Articles of Agreement.

SOURCE: CEB

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