In 2006, the European Investment Bank, the European Union's long-term financing institution, provided a total of EUR 1.1 billion for projects in Greece.

2006 has been a year of an enhanced cooperation with the banking sector, while lending for the energy, transport and human capital sectors accounted for an important part of the Bank's activity in the country.

In 2006 EIB developed further and strengthened its cooperation with the banking sector in Greece. This cooperation will benefit Small and Medium Sized projects as well as Small and Medium Sized Enterprises (SMEs), promoted by the private and the public (in particular local authorities) sector. The cooperation has developed in terms of:

  • volume: it reached a total of EUR 390 million;
  • wider spectrum of intermediary banks: a new operation was established with Geniki Bank, in addition to follow up operations with Emporiki and EFG Eurobank;
  • new forms of cooperation: a pioneering securitisation operation has been established for SMEs through EFG Bank, in cooperation with the European Investment Fund (EIF), EIB group's specialised venture capital arm and SME guarantee provider;
  • extended cooperation to benefit the local authorities: Small and Medium Sized projects promoted by local authorities can be financed through the EIB lines of credit to intermediary banks.

The rest of EIB's lending covered the traditional sectors of its activity, notably energy (including development of the natural gas sector and the interconnection with Turkey), transport (urban transport, in particular the extension of Attiko Metro and the Thessaloniki Submerged tunnel, as well as maritime transport, notably the Thessaloniki port). Human capital support was in the form of construction and equipping/upgrading school buildings throughout the country.

Financing in Greece in 2006 by sector:

  • Banking and sector cooperation 34%
  • Energy 21%
  • Transport 27%
  • Human Capital 18%

Projects signed in 2006: a total of EUR 1.1 billion

Project

 Borrower Amount in EUR m
Power transmission and distribution Public Power Corporation

200.00
Expansion of liquefied natural gas terminal on Revithoussa Island Public Gas Corporation DEPA S.A

23.00
Construction of gas pipeline link with Turkey Public Gas Corporation DEPA S.A.

22.00
Extension of Athens metro network Attiko Metro S.A.

100.00
Construction of Thessaloniki submerged tunnel Thermaiki Odos S.A.

152.10
Extension of Thessaloniki port Thessaloniki Port Authority S.A.

50.00
Construction, equipping and upgrading of schools throughout the country School Buildings Organisation

200.00
Financing for small and medium-scale projects Anaptyxi 2006-1 Plc (EFG)

250.00
Financing for small and medium-scale projects Emporiki Bank S.A.

50.00
Financing for small and medium-scale projects

Gentiki Bank S.A.

40.00
Financing for small and medium-scale projects EFG Eurobank Ergasias S.A.

50.00

The European Investment Bank Group in 2006

In 2006 the European Investment Bank Group, the banking group promoting European objectives, continued its activities aimed at modernising the economies of the Member States and of the countries close to the Union.

This was the first full year in which the new strategy decided by the EIB's Governors in June 2005 was implemented: a qualitative strategy based on investment and financial innovation.

This strategy consists of:

  • strengthening the leverage of the EIB's operations;
  • concentrating its financing within the Union on six European priorities;
  • fostering economic convergence between the Union and its partner countries.

In 2006, the European Investment Bank lent a total of EUR 45.8 billion for projects promoting the European Union's policy objectives. Finance for the then EU-25 Member States represented 87% of its activities and amounted to EUR 39.8 billion.

The European Investment Fund (EIF) - the EIB Group's specialised venture capital arm and SME guarantee provider - invested EUR 688 million in venture capital funds, bringing its aggregate portfolio to EUR 3.8 billion, and provided a total of EUR 2.2 billion in guarantees for SME loan portfolios of banks and financial institutions.

To fund its activities, the EIB raised an aggregate amount of EUR 48 billion on the international capital markets through 303 bond issues in 24 currencies.