CEB approves financing for seven new social projects

16 November 2017

PARIS – Today, at its meeting held in Paris, the Administrative Council of the Council of Europe Development Bank (CEB) approved seven new loans worth € 367 million. This brings the total amount approved for 2017 to € 3.9 billion.

Ireland: a € 85 million loan to Limerick City and County Council to finance urban development in Limerick, including the construction of an employment campus and the renovation of heritage buildings. The project, which is co-financed by the CEB and the EIB, is expected to contribute to the sustainable development of the city and also strengthen social cohesion and boost job creation.

Latvia: a € 12 million loan to the University of Latvia, one of the two largest higher education institutions in the country, to support the university’s infrastructure development. The funds provided by the CEB will be used for the second phase of modernisation, during which two new campus buildings will be constructed. More than 15,000 students and 1,000 academics are expected to benefit from the project.

Montenegro: a € 30 million loan to the Investment and Development Fund of Montenegro (IDF), a government agency established in 2009 with the purpose of encouraging economic development. The funds provided by the CEB will facilitate access to long-term financing for micro, small and medium-sized enterprises (MSMEs), particularly in the less developed areas of the country, and will promote permanent and seasonal job creation.

Montenegro: a € 10 million loan to the government, to finance a subsidised mortgage loan scheme which was established in order to provide access to affordable housing for 500 vulnerable, low-income households. This is the third CEB operation in Montenegro in the sector of social housing for low-income persons.

Poland: a € 100 million loan to Pekao Leasing Sp. (PekaoL), in order to channel financing to micro, small and medium-sized enterprises (MSMEs) for their investment projects. The loan provided by the CEB is expected to strengthen the competitiveness of Polish MSMEs thus contributing to job creation and preservation.

Portugal: a € 80 million loan to the government to improve living conditions in rural areas through supporting the development of sustainable agriculture. The funds will also be used to create green zones, thus contributing to the fight against natural and ecological disasters such as desertification and wildfires.

Romania: a € 50 million loan to the Raiffeisen Leasing IFN S.A. Romania, to facilitate access to financing for micro, small and medium-sized enterprises (MSMEs) in the form of leasing. CEB funds will be used for the productive investments of MSMEs, thus contributing to job creation and preservation in the country.

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.