Cohesion and convergence
In 2011, the EIB lent EUR 20.2bn to support the convergence regions of the European Union hit hardest by the economic and financial crisis. Support for the convergence regions remained at a high level of 38% of total lending in the EU. During the year, exceptionally large structural programme loans (SPL) helped to ensure continued public sector investment in some Member States.
Structural programme loans help to finance part of the national budgets’ contribution to investment in a wide range of priority projects that are supported by subsidies from the EU structural funds. In this way the EIB’s pre-financing of the countries’ contributions plays a key role in stabilising investment flows, securing growth and employment. In 2011, structural programme loans amounted to some EUR 1.6bn, enabling key investments to go ahead in transport, healthcare, information and communication technologies, and water and waste infrastructure, as well as in rural development, energy efficiency and renewable energy, in countries such as Portugal, Hungary and Poland.
Overall, EIB framework loans totalling some EUR 2.8bn helped to support important investments in nine convergence countries across the EU. In addition, the EIB and the Commission bolster convergence through advisory services, financial engineering and customised financial products, especially in the new Member States. There are four specially conceived Cohesion Policy Joint Initiatives, the so-called "4 Js", originating from partnerships established between the European Commission, the EIB/EIF and other international financial institutions. These are:
- JASPERS - Joint Assistance to Support Projects in European Regions (EIB, European Commission, European Bank for Reconstruction and Development and KfW Bankengruppe);
- JESSICA - Joint European Support for Sustainable Investment in City Areas (EIB, European Commission and Council of Europe Development Bank);
- JEREMIE - Joint European Resources for Micro-to-Medium Enterprises initiative (EIF, European Commission);
- JASMINE - Joint Action to Support Micro-Finance Institutions in Europe (EIF and European Commission).
