European Investment Bank (EIB) President Nadia Calviño presented the EU bank’s new eight-point strategy in Ghent on Friday, 23 February—a strategy that was favourably received by European finance ministers.
“The European Union is at a crossroads”, declared Mrs Calviño, who was pleased with the “very strong support” expressed by ministers.
She gave the eight thematic priorities of the largest international multilateral bank: (1) consolidating the financial institution’s position as a “climate bank” with a new programme focused on water issues and another dedicated to SMEs that are active in energy efficiency; (2) stimulating technological innovation in areas such as artificial intelligence, microprocessors, net-zero technologies, and raw materials; (3) supporting the security and defence industries with the possibility of directly investing (and having equity) in start-ups; (4) strengthening territorial cohesion by helping the transition of certain sectors or territories, particularly those dependent on polluting activities; (5) developing innovative financing for agriculture and the bioeconomy; (6) investing in social infrastructures, such as housing; (7) creating innovative financing to make the capital markets union a reality (see other news); and (8) maintaining an international presence, particularly in Ukraine.
Asked about the possibility of amending the EIB’s mandate in order to allow for the financing of the production of weapons and ammunition, Mrs Calviño indicated that the bank wanted to become more involved in the security and defence sector. This will notably involve creating a one-stop shop to facilitate and accelerate the mobilisation of SESI, an initiative that has a budget of €8 billion but has only used €2 billion at this point. Support for the production of dual-use equipment, such as drones, is also currently under consideration.
“We need to reinforce support and reinforce Europe’s industry in the area of security and defence”, noted the former Spanish finance minister. The EIB has been asked to report back in 2 months’ time on the progress that can be made.
“The EIB should, of course, play a key role in financing the green and digital transition, enhancing our competitiveness, and strengthening, also, our defence capacities”, said Vincent Van Peteghem, the Belgian minister who hosted the informal ministerial meeting. His German counterpart, Christian Lindner, made a statement in the same vein: “The German government strongly backs that the EIB in future also facilitates financing in the areas of defence, armament, and security”. France is also in favour of the EIB financing the defence and nuclear sectors.
Asked by EUROPE about support in the nuclear sector, Mrs Calviño felt that the EU bank should be able to invest “in all relevant technologies for the ‘green’ transition”—all investment decisions having to be assessed “on [the project’s] own merits”. She mentioned [EIB-]supported projects in the areas of nuclear fuel recycling, nuclear safety, and research as well as a recent loan granted to create Europe’s first tritium removal facility in Romania.
However, Mrs Calviño did not suggest that the EU bank’s capital would need to be increased. In her opinion, with its very solid capital base and AAA financial rating, the EIB is already “in a very strong position [...] to do more” to support the eight priorities that have been identified. (Original version in French by Mathieu Bion)