EIB Global Impact Report 2023/2024 E-Book

European Investment Bank

• Herausgeber: European Investment Bank
• Kategorie: Fachliteratur
• Sprache: Englisch

Seitenzahl: 150

Veröffentlichungsjahr: 2024

Beschreibung

Covering EIB Global's activities in 2023, this annual report shows how these activities are aligned with EU priorities and initiatives in different regions. It details the results and impact achieved by EIB Global's activities and provides an update on how the Bank is improving its mode of delivery, in order to enhance that impact. It is divided into four main sections: A tailored, regional approach: This section reports on the activities of EIB Global. Beginning with a special focus on Ukraine, it then covers Enlargement countries, the Neighbourhood regions, sub-Saharan Africa and finally Asia and Latin America (including Central Asia, the Pacific and the Caribbean). It examines the challenges in each region and how EIB Global is working with partners to address them in line with EU enlargement, regional and development policy. Delivering on EU priorities: This section describes how EIB Global is investing in social and economic infrastructure under the Global Gateway Initiative, helping partner countries step up climate action through both mitigation and acceleration, and expanding access to finance for entrepreneurs and small businesses to unlock job creation and growth. Two further parts focus on promoting gender equality through EIB Global operations, and how we work in fragile and conflict-affected states. Enhancing impact: This section examines the progress that EIB Global is making in achieving an improved mode of delivery under its Strategic Roadmap, in order to enhance and increase the impact it delivers. It covers key deliverables such as increasing local presence, the roll-out of advisory services and new products and initiatives, and how the Bank is learning from evaluations. Tracking results: Maximising EU impact is the ultimate goal of EIB Global. This section therefore describes how the Bank is managing for results, and reports on project results in detail, including results expected at appraisal and those achieved at project completion. It also reports on the Bank's additionality, carbon footprint and modelled impact on jobs.

Leseprobe

EUROPEAN INVESTMENT BANK GROUP

2023/2024

EIB GLOBALIMPACT REPORT

About the European Investment Bank

The European Investment Bank Group is the world’s biggest multilateral lender. We finance sustainable investment in small and medium-sized enterprises, innovation, infrastructure, and climate and environment. We have financed Europe’s economic growth for six decades and are at the forefront of EU crisis response, leading the world in climate investment and backing development of the first COVID-19 vaccine. We are committed to triggering €1 trillion in investment in climate and environmental sustainability to combat climate change by the end of this decade. About 10% of all our investment is outside the European Union, where our EIB Global branch supports Europe’s neighbours and global development.

CONTENTS

FOREWORD BY THE EIB PRESIDENT

OVERVIEW OF THE YEAR

GLOBAL CHALLENGES, DEEPER PARTNERSHIPS

UKRAINE

ENLARGEMENT COUNTRIES

RAIL RENAISSANCE IN NORTH MACEDONIA

NEIGHBOURHOOD REGIONS

LETTING ENERGY FLOW ACROSS THE MEDITERRANEAN

SUB-SAHARAN AFRICA

INVESTING IN HEALTH: FROM POLIO ERADICATION TO LOCAL VACCINE MANUFACTURING IN AFRICA

ASIA, THE PACIFIC, LATIN AMERICA AND THE CARIBBEAN

FAIRNESS IN THE FAVELAS

DELIVERING ON EU PRIORITIES

GLOBAL GATEWAY

CLIMATE ACTION

JOBS AND INCLUSIVE GROWTH

SPECIAL FOCUS: GENDER

SPECIAL FOCUS: FRAGILITY AND CONFLICT

ENHANCING IMPACT

ENHANCING LOCAL PRESENCE

UNLOCKING IMPACT THROUGH BLENDING

ADVISORY ACTIVITIES

WORKING IN PARTNERSHIP

LEARNING FROM AN EVALUATION OF EIB LENDING TO THE WATER SECTOR

TRACKING RESULTS

HOW WE MEASURE RESULTS AND IMPACT

EXPECTED RESULTS OF NEW PROJECTS

THE EIB’S CONTRIBUTION TO NEW PROJECTS

CARBON FOOTPRINT EXERCISE

MACROECONOMIC IMPACT MODELLING

RESULTS OF COMPLETED PROJECTS

ANNEX 1: LENDING VOLUMES

FOREWORDBY THE PRESIDENT

The European Union is the most successful example of economic, social and political integration in history. It is the main contributor of humanitarian assistance and development finance in the world, acting as a beacon of peace, freedom, democracy, prosperity, human rights and social progress through its different public policies inside and outside the Union.

In the current geopolitical context, as the world is confronted with a tectonic shift in the global order that guided economic and political relations since World War II, it is more important than ever that Europe plays an active role around the world, promoting our shared values and contributing to stability, rising living standards and a more sustainable and inclusive growth model throughout the world.

As the financing arm of the European Union, the European Investment Bank Group has a key role to play to support policy priorities, financing projects on the ground and building strategic partnerships that can foster cooperative responses to our shared challenges and build a better future: mitigating climate change, fostering security, ensuring resilient supply chains and access to critical raw materials, and contributing to geopolitical and economic stability, gender equality, food security and health.

The challenges are immense, but so are the opportunities.

Working as part of Team Europe and cooperating with other international organisations, the EIB Group brings together flexible finance and technical assistance to prepare and unblock projects. Building on the mandates and guarantees from the EU budget, the EIB Group can maximise the impact of its own capital, take risks and mobilise private investment to fill the financing gaps for development and the global climate transition.

Nowhere is that clearer than in Ukraine, where the Group is providing immediate, emergency support, and will scale up its actions through the Ukraine Facility. By supporting the resilience of the country now and the reconstruction effort, the Group will help it ensure a prosperous future as part of the European Union.

Supporting the enlargement process through investments that foster deeper integration of our Eastern neighbourhood and the attainment of EU standards in candidate countries is a top priority for the EIB Group. Fast and efficient project execution, building on the EIB’s existing financial relations and advisory services, is key.

This economic partnership is also vital for countries in the Southern Neighbourhood, where we invest to help build prosperous, inclusive and sustainable economies, contributing to security and stability throughout the region.

In other emerging markets and developing economies, in sub-Saharan Africa, America and Asia, we finance key flagship projects of Europe’s Global Gateway initiative, supporting the North-South dialogue as well as green growth, climate resilience and the achievement of the Sustainable Development Goals.

Beyond flagship projects in the different geographical regions, the EIB Group finances impactful initiatives through strategic global partnerships, including those with the UN development programme, UNICEF, the World Health Organization, the Vaccine Alliance and private foundations with ambitious and life-changing goals, such as ending polio for good or deploying vaccine production facilities in Africa.

This report details our activities outside the European Union in 2023 and their expected results and impact, showing our strong commitment to furthering EU objectives for a more prosperous, safer, more sustainable and fairer world.

Nadia CalviñoPresident of the European Investment Bank

OVERVIEW OF THE YEAR

Now entering the third year since its launch in 2022, EIB Global builds upon the EIB’s many decades of experience as a leading representative of the European Union outside Europe, upholding EU standards and values while bringing our expertise to projects worldwide. Our unique structure, including a dedicated Board Advisory Group, brings together various parts of the EU family, guiding our operations and strategies to develop instruments and initiatives with lasting global impact. EIB Global’s activities focus on the areas of climate action, digital, energy, infrastructure, inclusive finance for small businesses and job creation, education and health.

Our default working mode, Team Europe, involves close coordination with European partners and local stakeholders to provide financial and technical backing to projects reflecting regional opportunities and joint priorities. We finance projects that matter to our partners in both the public and private sectors, aligning with Europe’s interests while delivering tangible contributions to global challenges. Recent years have brought an array of uncertainties that have underscored the interconnectedness of our lives and the importance of investing in long-term partnerships and common goals.

EIB Global largely relies on EU mandates that allow the Bank to combine the advantages of an AAA-rated institution with lending to emerging markets and developing economies, including in less developed states where a high degree of concessionality is essential. It implements mandates under the Neighbourhood, Development and International Cooperation Instrument (NDICI). Blending EIB resources with European Commission and donor resources and guarantees also plays a critical role in achieving concessionality, and in enabling the advice and technical assistance that is often essential to project preparation and success.

As a natural convener, EIB Global works very closely in the context of the NDICI Global Europe framework, not only with the European Commission and the European External Action Service, as part of the EU family, but also with other European development finance institutions in the context of Team Europe. EIB Global is part of 110 out of 168 Team Europe initiatives. It is at the forefront of innovative EU programmes and is in close collaboration with other Team Europe players, as in the case of the Global Green Bond Initiative (Here).

Our commitment to Ukraine and other Enlargement countries remains steadfast. With crucial contributions from EU Member States, we established the EU for Ukraine (EU4U) Fund, which is already helping the reconstruction of Ukraine’s technology sector through initiatives such as Horizon Capital Growth Fund IV. We prioritise investments in stability and prosperity in our neighbouring regions to the east and the south, as well as the African continent as a whole.

Our focus on maximising and mobilising resources for the Global Gateway, supporting projects critical to sustainable development and climate goals, also increases the visibility of EU development impact worldwide.

In the past year, we provided €8.44 billion in financing globally. We contributed significantly to the Global Gateway initiative, with about €60 billion of total investments supported by EIB financing in 2022 and 2023.

For the first time, more than half of our projects contributed to climate action and environmental sustainability, with 18% of this devoted to adaptation. As the EU climate bank, our commitment to addressing climate change extends beyond Europe’s borders, acknowledging that developing and emerging countries are often most vulnerable to its effects and have fewer resources to adapt to climate impacts. Our approach on just transition and just resilience complements our long-standing support for climate action and social development.

In 2023 alone, EIB Global supported the water sector with €1.2 billion of financing, contributing significantly to adaptation efforts. We recognise the urgent need to address the effects of climate change, particularly its effects on vulnerable populations who are suffering the most, despite having done the least to cause it. That is why we have put particular emphasis on adaptation, focusing on areas such as agriculture and food security, nature-based solutions, water vulnerability, livelihoods and health.

EIB Global further contributed to improving peoples’ lives by supporting equitable access to health services and building resilience in partner countries with some €1 billion of financing in 2023 alone. Innovative and coordinated financing approaches are needed to help bridge the gap between health system investment needs and the challenge of limited domestic funding in low-income countries. Through partnerships with a core group of multilateral development banks and other organisations, we are committed to developing high-impact, equitable, people-centred primary health services in low- and low-middle income countries. More support will be rolled out under the Human Development Accelerator (HDX), an innovative health programme backed by the European Commission in partnership with the Bill and Melinda Gates Foundation, the World Health Organisation and UNICEF.

An unprecedented 40% of our projects signed last year are set to make a significant contribution to gender equality and women’s economic empowerment. These investments supported public and private sector projects that advance gender equality and close gender gaps, and facilitate women’s access to finance. By empowering women and allowing female entrepreneurs to thrive and reach their full potential, we can build a more inclusive and prosperous world for all.

Additionally, we supported smaller businesses, which are the backbone of economies and drivers of employment. The challenges posed by multiple crises have affected many smaller businesses' ability to access financing, especially longer-term lending. Our partnerships with businesses and local banks are key to providing targeted support that fosters lasting transformation contributing to greener, digital and inclusive private sector development.

With support from donors and mandates, we have directed 42% of our lending to least developed countries and fragile states, maintaining strong engagement in these countries during times of need. Our increased focus on reinforcing our advisory and concessional financing offerings is crucial to enhancing our impact, ensuring that we adapt to partners’ needs effectively.

The development of new products and initiatives based on EU policies is a testament to our commitment to innovative approaches. Climate-resilient debt clauses are set to mitigate the risk of debt distress as a direct consequence of natural disasters in least developed countries and small island developing states. The Global Green Bond Initiative, which we will launch in 2024, will address critical gaps in climate funding in lower and middle-income countries. It is backed by the European Commission and supported by other European development financiers, the African Development Bank and the Green Climate Fund.

Unique among development finance institutions, EIB Global is accountable solely to the EU Member States, its shareholders, through the EIB Board. Moreover, it benefits from the guidance of the EIB Global Board Advisory Group, an independent group of experts in development and finance with representatives from each Member State, the European Commission and the European External Action Service. The Global Board Advisory Group advises the EIB Board on EIB Global financing proposals, dedicated strategies and business plans, reporting and evaluation. It has proven to be essential in reinforcing EIB Global’s decision-making process, thereby strengthening its contribution to EU cooperation and development impact.

Looking ahead, we remain committed to strengthening our partnerships to support key regional priorities and strategic objectives, including critical raw materials and green hydrogen, as well as the Global Gateway. We look forward to continuing our work with partners to contribute to the Sustainable Development Goals and create lasting positive change around the world.

ENHANCING THE IMPACT OF EIB OPERATIONS OUTSIDE THE EUROPEAN UNION

The breadth and depth of current international challenges require a more effective, coherent and visible response from the European Union with multiple shocks threatening to undermine progress towards the common goals, including the climate crisis, the impact of the pandemic, the repercussions of the Russian war of aggression against Ukraine and other conflicts, such as that between Israel and Hamas.

As part of the European Union’s strengthened focus on external action, the Council of the European Union invited the EIB to present improvements to enhance the development impact of its operations in partner countries. The Council’s conclusions pointed to opportunities for the EIB to strengthen its operating model, including a greater role for EU development policymakers in its governance, deeper partnerships as part of Team Europe and an enhanced presence in partner countries, in close cooperation with EU Delegations.

In direct response to these recommendations, the European Investment Bank launched EIB Global as a dedicated branch in January 2022, with the EIB Global Board Advisory Group providing for enhanced guidance and oversight. Through an ongoing process of restructuring, EIB Global is improving its mode of delivery, and thus ultimately the impacts it achieves.

THE EIB GLOBAL STRATEGIC ROADMAP

An important milestone in this process was the approval of the EIB Global Strategic Roadmap 2023-2027 by the EIB Board of Directors in November 2023.[1] The Roadmap sets out how EIB Global will continue to improve its impact throughout the duration of the current Multiannual Financing Framework. Specifically, it sets out the priorities of EIB Global in terms of:

•Supporting EU policies and priorities such as the Global Gateway, the Green Deal, the enlargement process and specific regional policies, and the achievement of the Sustainable Development Goals (SDGs).

•Promoting high EU standards on issues such as climate change, gender equality, fragility and conflict, human rights, fraud and corruption, and many other areas, adopting targets under the EIB Group Climate Bank Roadmap.

•Strengthening Team Europe participation and partnerships, increasing co-financing and intensifying upstream consultations with the Commission and EU Delegations as well as cooperation and dialogue with other institutions in the global development community.

•Improving the delivery mode by strengthening its presence at the country level, focusing more on resource mobilisation for blending, reinforcing its advisory services, and expanding its toolkit of products.

•Building on a solid financial foundation, complementing its lending under mandates with the use of own-risk facilities and enhancing its risk-taking capacity.

A COMMITMENT TO REPORT ON RESULTS AND IMPACT

Assessing the results and impact of EIB operations is vital. It helps us focus on high-impact projects through which the EIB can make a big difference, and that are aligned with EU policies and the investment needs and priorities in the relevant country. It helps us become even more effective by fine-tuning the support we offer. It is also a way of ensuring accountability towards our stakeholders. The EIB is committed to tracking results and impact and to reporting on our findings. Reporting in this way is a key objective of this document.

To get as full a picture as possible, we use different complementary methods to examine our impact, using a three-layer approach: [2]

• We track results and the EIB’s contribution to each project throughout the project cycle.

• We also support in-depth studies for a detailed understanding of certain projects’ impact.

• And we use macroeconomic modelling to gain insight into the broader economic impact of our lending.

The assessment and tracking of results are integrated in the EIB’s full project appraisal and follow-up process through our Additionality and Impact Measurement (AIM) framework. In the Tracking results section of this report, we detail the results expected and the assessed EIB contribution for new projects signed in 2023. Importantly, we also report on the achieved results of projects that reached completion in 2023. In the same section we also report on the results of our assessment of the macroeconomic impact of our outside-EU activities on employment, using the Joint Impact Model.

Lastly, we summarise recent in-depth impact studies which are included among the project and lending examples described in the report. These include an econometric study of how support for small businesses in the Western Balkans has enhanced investment and firm-level job creation. Another example provides an update on ongoing studies of support for startups in Africa.

THE FOCUS OF THIS REPORT

This publication has a number of objectives:

•To report on EIB Global activities in 2023, and how they are aligned with EU priorities and initiatives in different regions.

•To provide transparency on results and impact achieved by EIB Global activities.

•To update on how the Bank is improving its mode of delivery, in order to enhance impact.

To this end, this report is divided into four main sections:

Global challenges, deeper partnerships

This section reports on the activities of EIB Global, region by region. It begins with a special focus on support for reconstruction in Ukraine, then covers Enlargement countries, the Neighbourhood regions, sub-Saharan Africa and finally Asia and Latin America (including Central Asia, the Pacific and the Caribbean). It examines the challenges in each region and how EIB Global is working with partners to address them in line with EU enlargement, regional and development policy.

Delivering on EU priorities

This section describes how EIB Global is implementing three main policy objectives, investing in social and economic infrastructure under the Global Gateway Initiative, helping partner countries step up climate action through both mitigation and acceleration, and expanding access to finance for entrepreneurs and small businesses to unlock job creation and growth. Two additional parts focus on promoting gender equality through EIB Global operations, and how we work in fragile and conflict-affected states.

Enhancing impact

This section examines the progress that EIB Global is making in achieving an improved mode of delivery under its Strategic Roadmap, in order to enhance and increase the impact it delivers. The section covers key deliverables under the strategy: increasing local presence through regional hubs and country representations, the roll-out of advisory services and new products and initiatives adapted to local needs, achievements in terms of blended finance