Brussels, 12/09/2008 (Agence Europe) - The European Investment Bank (EIB) has renewed its policy on lending to water projects to adjust it to the developments and challenges of this important sector. The renewed water lending policy will help the EIB to further strengthen its role as a major global financier of the sector, and as the “EU Water Bank”. The new policy, summarised in a document of some 20 pages (http: //http://www.eib.org/attachements/strategies/water_sector_lending_policy_2008_en.pdf ) has been presented at major conferences, among them at the recent Stockholm Water Week and at the International Water Association's World Water Congress held recently in Vienna.
In the Mediterranean Basin, coastal cities in several countries continue to experience drinking water supply emergencies due to severe droughts. On the other hand, catastrophic floods have devastated parts of Central and Northern Europe in recent years, causing loss of lives and significant economic damage. On a global level, more than 1.1 billion people do not have access to safe drinking water, and, in Africa, seven out of ten people lack basic sanitation. The increasing importance of water issues are clearly reflected in the EU's environment and development policies.
The EIB's involvement adds significant value to water projects through project preparation, as well as advisory and technical assistance activities. The Bank's intervention will be predicated on maximising value added, and priorities will be determined on that basis. The EIB's key strengths, in particular the transfer of sector and project experience from the EU to other parts of the world, make it unique among financing institutions.
It is against this background that the Bank has developed a renewed water sector lending policy. This policy, based on EU policy priorities, defines a set of principles and measures that respond to major challenges, and that will consolidate the role of the Bank as a key contributor to investments in the water sector. With its renewed water sector policy, the EIB seeks to reaffirm its commitment as a major lender to the water sector inside and outside the EU and also to enhance its good track record, provide further leverage, increase its value added in the sector, and enhance the EIB's climate change policy. (O.L./transl.rt)