Memorandum of Understanding on implementation of Joint European Support for Sustainable Investment in City Areas (JESSICA) in Moravia-Silesia Region signed
- Release date: 23 July 2009
- Reference: 2009-152-EN
The European Investment Bank (EIB) and the Regional Council of the Moravia-Silesia Cohesion Region (Czech Republic) signed on 22 July a Memorandum of Understanding on the future creation of a JESSICA Holding Fund to support the regeneration and development of Moravian-Silesian cities. This is the first Memorandum of this type signed in the Czech Republic.
In this framework, the EIB will assist Moravia-Silesia in identifying suitable operators of urban development funds, which will subsequently invest in urban projects. The scheme will allow EU Structural Funds to be invested in a revolving way and will come under the JESSICA initiative.
The signing of this Memorandum follows the completion of a JESSICA Evaluation Study for Moravia-Silesia, funded jointly by the European Commission and the EIB. Moravia-Silesia is an industrial region with significant urban regeneration needs and the study identified considerable scope for the use of JESSICA as a way to use EU Structural Funds to attract private co-investment in strategic urban projects. The Moravia-Silesia Regional Council, which is the Managing Authority of EU Structural Funds in the region, intends to contribute approximately EUR 20 million to the JESSICA Holding Fund.
The JESSICA initiative is being developed by the European Commission and the European Investment Bank (EIB), in collaboration with the Council of Europe Development Bank (CEB). The EIB has been mandated by the EU through the enactment of EU Structural Funds Regulations to act as a JESSICA Holding Fund on behalf of those Managing Authorities which want to implement JESSICA structures in their constituencies. Acting as a JESSICA Holding Fund for Managing Authorities is therefore an integral part of the Bank’s commitment to both JESSICA and urban regeneration across Europe.