PARIS, 30-Sep-2016 — /EuropaWire/ — Today, at its 299th meeting held in Paris, the Administrative Council of the Council of Europe Development Bank (CEB) approved five new loans worth € 423 million. This brings the total amount approved for projects so far this year to almost € 3.3 billion.
Finland: a € 60 million loan to the City of Tampere, Finland’s third largest city and a centre for business, research and leading-edge technology. To cope with the city’s rapid growth, the municipal infrastructure requires investments for renovation works, particularly in the areas of health, education, sports, culture, transport and social housing. CEB funds will cover, through a Public Sector Financing Facility (PFF), the city’s financing needs in these areas.
France: a € 150 million loan to Caisse des Dépôts et Consignations, to finance investments in “Young Workers’ Hostels” (Foyers de jeunes travailleurs). The CEB loan will be used for the renovation of about 170 young workers’ hostels, representing around 13 000 dwellings. These offer affordable accommodation and social support to young persons aged 16 to 25 years old, who are either in the process of entering the labour market or are already in employment.
Slovak Republic: a € 40 million loan to Slovenská sporiteľňa, the Slovak Republic’s leading commercial bank with a network of 300 subsidiaries throughout the country. CEB funds will be used for the financing of the productive investments of micro, small and medium-sized enterprises (MSMEs); for the modernisation of urban and rural public infrastructure; and for the protection of the environment. The loan will improve the living conditions of local populations and is expected to have a positive impact on employment.
Slovak Republic: a € 13 million loan to the self-governing region of Trenčín, which comprises 274 municipalities and benefits from European Structural Funds to finance social projects. The CEB loan, through an EU Co-financing Facility (ECF), will provide bridge-financing for projects aimed at the modernisation of urban and rural infrastructure, the protection and rehabilitation of cultural heritage, and the protection of the environment.
Sweden: a € 160 million loan to the City of Malmö, third largest city in Sweden with 35% of its population born outside the country. Over the next three years, the municipality expects its population to increase by 33 000 persons, 25% of whom will be asylum-seekers below the age of 15 years. Given that education plays an important role in the successful integration of refugees, the CEB loan will finance the refurbishment of existing compulsory education buildings and the construction of new school facilities. It is expected that some 8 000 pupils will benefit from this.
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 stable 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.
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SOURCE: Council of Europe Development Bank (CEB)