COMMUNICATION FROM THE COMMISSION Towards a more efficient financial architecture for investment outside the European Union

1. In this Communication the Commission draws attention to the scale and immediacy of global investment challenges, particularly in Africa and the EU’s Neighbourhood, and calls for a more efficient and effective use of the EU’s financial instruments, including guarantees and blending (combining grants with loans). Both a short- and medium-term strategy are put forward in the document.

2. In the short-term the Commission outlines that the EU should make the most of existing instruments by:
a. Accelerating the implementation of the EU External Investment Plan (EIP) and European Fund for Sustainable Development (EFSD), which were put forward in 2016 with the objective of mobilising at least €44m (c.£39m) of investment in Africa and the Neighbourhood;
b. Looking for synergies and complementarities between existing European actors in this space, including the European Investment Bank (EIB) and European Bank for Reconstruction and Development (EBRD);
c. Increasing the coherence of the actions taken by various implementing partners with the EU’s external policy objectives; and
d. Improving intra-EU cooperation in international financial institutions, in particular at the EBRD.

3. In the medium-term the Commission’s intention is to:
a. Expand the use of financial instruments through the European Fund for Sustainable Development Plus (EFSD+), which forms part of the Commission’s proposals for the next Multi-Annual Financial Framework for 2021-2027; and
b. Reinforce the European financial architecture through more efficient governance and stronger alignment of projects with EU policy, which could take the form of an EU external investment platform that brought together all actors benefiting from EU guarantees under a new single framework.

Topic  EU Funds 
Department  DFID 
Council Reference  12142/18 
COM Reference  COM(18)644 
SEC Reference   
PE Cons   
C Reference   

Associated file(s)

  1. 12142/18 - 468 KB - pdf
  2. EM 12142/18 - 908 KB - pdf

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