BRUSSELS, 13-Dec-2017 — /EuropaWire/ — On 12 December 2017, the Council extended the European fund for strategic investments (EFSI) with a target of half a trillion euros of additional investments.
EFSI is the flagship initiative under the EU’s ‘investment plan for Europe’.
“Extending EFSI and creating a well-functioning capital markets union are key measures for supporting job creation and economic growth”, said Toomas Tõniste, minister for finance of Estonia, which currently holds the Council presidency.
“Investment has now picked up in Europe, due to favourable financing conditions and positive economic sentiment. But private sector investment levels are still too low and we need to continue our efforts to achieve a balanced and sustainable recovery”, he said.
The draft regulation:
- extends EFSI’s lifespan until 31 December 2020;
- raises the investment target to €500 billion;
- increases the EU budget guarantee to €26 billion (of which €16 billion will be available for guarantee calls until mid-2018);
- increases the European Investment Bank‘s contribution to €7.5 billion (from €5 billion currently), pending approval by the EIB’s board of directors.
The regulation was adopted without discussion at a meeting of the Agriculture and Fisheries Council. Provisional agreement with the Parliament was reached on 26 October 2017. The Parliament approved the regulation at first reading on 12 December 2017.
SOURCE: European Council
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