CEB approves financing for eight social projects
16 March 2018
PARIS – Today, at its meeting held in Paris, the Administrative Council of the Council of Europe Development Bank (CEB) approved eight new loans worth a total of €690 million.
Czech Republic: a €100 million loan to SG Equipment Finance Czech Republicto support job creation and preservation through the financing of the productive investments of Czech MSMEs. The CEB loan will also be used for the rehabilitation and modernisation of public infrastructure and will help to improve living conditions in urban and rural areas.
Finland: a €50 million loan to the City of Turku,Finland’s sixth largest city. The CEB loan will contribute to the implementation of Turku’s €260 million investment plan for the period 2018-2020, aimed at improving municipal infrastructure and enhancing living conditions. CEB funds are expected to reach a wide range of end beneficiaries, including families with children and elderly persons.
Hungary: a €75 million loan to the Hungarian Development Bank (MFB),a state-owned financial institution, to support the investment projects of MSMEs and municipalities throughout the country. Part of the CEB loan will be channelled to the Student Loan Centre, which provides student loans in higher education to help with living expenses and study costs.
Lithuania: a €15 million loan to Šiaulių bankas,one of the country’s largest financial institutions that provides financing for municipal investments, with a particular focus on energy efficiency measures, through the Municipal Buildings Fund. The CEB loan will help to improve municipal infrastructure and support the efforts made by Lithuanian municipalities to provide enhanced services at the lowest possible cost.
Netherlands: a €300 million loan to Nederlandse Waterschapsbank N.V.to provide financing to municipalities and housing associations for the construction or modernisation of infrastructure facilities and social housing units as well as for energy efficiency measures throughout the country.
Serbia: a €20 million loan to Raiffeisen Leasing Serbia,the country’s third largest leasing company, to channel financing to MSMEs throughout the country, increase their competitiveness, and support the creation of new permanent and seasonal jobs and the preservation of existing positions. Also, a €30 million loan to ProCredit Bank Serbia to benefit MSMEs for which leasing is often the only form of investment finance to which they have access. MSMEs play an important role in Serbian economy, as they provide almost two-thirds of all jobs in the private sector.
Spain: a €100 million loan to Nuevo MicroBank (NMB)to provide financing to micro, small and medium-sized enterprises (MSMEs) and individuals with limited access to financing. NMB strives to promote productive activity and job creation by granting microloans to independent professionals, entrepreneurs and MSMEs. It also provides financing to families who have no access to the formal banking system.
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.