CEB approves loans for 12 new social projects worth € 1.15 billion

17 June 2016

Strasbourg - Today, at its 298th meeting held in Strasbourg, the Administrative Council of the Council of Europe Development Bank (CEB) approved twelve new loans worth a total of € 1.15 billion. This brings the total amount approved for social projects so far this year to almost € 3 billion. 

Germany: a € 300 million loan to Investitionsbank des Landes Brandenburg (ILB) to finance municipal investments in the Brandenburg region, particularly for the provision of affordable social housing and the modernisation of socio-cultural facilities. Also, a € 50 million to NRW Bank, as an extension of the loan granted in 2010, to increase the availability of social housing units for low-income families, the elderly, persons of migrant background, and persons with disabilities in North Rhine-Westphalia. 

Bosnia and Herzegovina: a € 11 million loan to the federal government in order to co-finance the construction of the water intake facility at the Plava Voda source and the construction of a pipeline. The project, which is co-financed by the European Bank for Reconstruction and Development (EBRD), will ensure the reliable supply of good quality water to 250,000 persons in the municipalities of Travnik, Novi Travnik, Vitez, Busovaca, and Zenica. 

Bulgaria: a € 200 million loan to the government to help maximise, through an EU Co-financing Facility (ECF), the benefits of the European Structural and Investment Funds granted to Bulgaria for the period 2014-2020. The funds will help to address Bulgaria’s social investment needs, advance economic development, and reduce regional disparities. 

Cyprus: a € 32 million loan to the government to finance the extension and renovation of the University of Cyprus. The enlargement and refurbishment of facilities will create new teaching, research and administrative jobs and help the institution to cope with the 25% increase in its student intake expected by 2020. 

Finland: a € 80 million loan to the City of Espoo, Finland’s second largest city, in order to finance the construction of new school buildings and the refurbishment of existing facilities. CEB funds will benefit at least 7 500 children, including children of migrant background. 

France: a € 65.6 million loan to Société Générale to finance the design and construction of the “Condorcet” Campus in Seine-Saint-Denis. When it opens in 2019, the “Condorcet”, which will bring together ten higher education institutions and units from four universities, will become the largest European campus in social sciences and humanities research. 

Italy: a € 150 million loan to Cassa Depositi e Prestiti S.p.A. to facilitate access to low-interest loans for Italian micro-, small, and medium-sized enterprises (MSMEs). The implementation of this project is in the context of a series of measures taken by the Italian government to help MSMEs, which employ almost 17 million persons. 

“the former Yugoslav Republic of Macedonia”: a € 10 million to Procredit Bank Macedonia, a subsidiary of ProCredit Holding, the only bank in the country specialising in the development of MSMEs. The CEB loan will finance the productive investments of small businesses, boosting their competitiveness and promoting job creation. 

Czech Republic: a € 50 million to Société Générale Equipment Finance CZ to finance the productive investments of Czech and Slovak MSMEs and also long-term projects in the modernisation of public infrastructure. The loan is expected to make an important contribution to job creation in the countries concerned. 

Turkey: a € 100 million loan to Türkiye Sınai Kalkınma Bankası (TSKB), the only private bank for industrial development in the country, and a € 100 loan to Türkiye Kalkınma Bankası (TKB), which is state-owned. The CEB loans will strengthen the competitiveness of Turkish MSMEs and support the creation of seasonal and permanent jobs, with a particular focus on regional development and the reduction of disparities.

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.