The social development bank for Europe
Additional €150 million loan from CEB to Banque des Territoires to secure housing for vulnerable populations
21 January 2022
PARIS – The Council of Europe Development Bank (CEB) and the Banque des Territoires (CDC) have signed an agreement for a €150 million Cross-Sectoral Loan (CSL) to co-finance the construction and renovation of housing and reception structures for vulnerable populations across France.
The new loan follows in the footsteps of two existing CEB loans to the Banque des Territoires totalling €300 million. It will ensure continued financing for the construction and renovation of university residences, social residences and healthcare centres for the elderly and persons with disabilities, and homes for young workers.
This new loan is part of the “European alliance for sustainable and inclusive social housing in France”, created in 2020 between the Union sociale pour l’habitat, the European Investment Bank (EIB), the Banque des Territoires (CDC) and the CEB, to facilitate access to EU funding, through the intermediary of the Banque des Territoires, intended to support mass construction and renovation of social housing in France. Since its launch, this partnership has benefited from €1.8 billion in financing from the EIB and the CEB.
“This loan embodies our firm commitment to the protection of vulnerable people,” said CEB Governor Carlo Monticelli. “Working together with the CDC and other partners in Alliance enables us to address the ever-increasing social housing needs in France and do more to support social inclusion.”
The loan is also consistent with the long-term funding of activities envisaged by the French government’s France Relance, a large-scale action plan launched in September 2020 to help recovery from the COVID-19 pandemic.
“We are pleased to continue our successful partnership with the CEB as part of a broader effort to promote social inclusion in France,” said Eric Lombard, Managing Director of the Caisse des Dépôts. “With the support of the CEB, we will continue to meet the needs for quality social housing throughout the territory, in line with the objectives of the France Relance plan in which the Caisse des Dépôts participates to revive the economy.”
The new CEB loan also meets the objectives of the Recovery Plan for Europe and fits in with the energy efficiency renovations of buildings initiated under the Green Deal of the European Commission.
France is a founding member of the CEB. Over the past decade, the Bank has played a pivotal role in funding social investments worth nearly €3 billion, ranging from improved infrastructure in the health sector, education, mobility, environmental protection and housing for low-income persons to support for MSMEs. France also contributes to the CEB’s resources in the form of donations. It has contributed €3 million to the CEB’s Migrants and Refugees Fund (MRF), a grant mechanism created in October 2015 to help its member states deal with the migrant and refugee crisis. For more information, click here.
About the CEB: Set up in 1956, the CEB (Council of Europe Development Bank) has 42 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, AAA with Standard & Poor's, outlook stable, AA+ with Fitch Ratings, outlook positive and AAA* with Scope 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.
About Banque des Territoires: Set up in 2018, Banque des Territoires is one of Caisse des Dépôts’ five areas of expertise. It brings together within a single structure all of our in-house expertise for local areas. As a one-stop shop for customers, it provides tailored solutions in terms of consulting and financing through loans and investment to meet the needs of local authorities, social housing bodies, local public undertakings and the legal professions. It was set up to serve the interests of all local areas alike, from rural municipalities to large cities, with the ambition of combating social inequality and territorial divisions. Banque des Territoires is also rolled out across Caisse des Dépôts’ 16 regional managements and 37 territorial offices so as to resonate more meaningfully with our customers, in their neighbourhoods. For more information, see here.
- Jovana Miocinovic / Marie-Caroline Cardi
CEB / Banque des Territoires
+33 1 47 55 53 51 / +33 1 58 50 31 06