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European Investment Bank

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133-645: The European Investment Bank (EIB) is the European Union 's investment bank and is owned by the 27 member states. It is the largest multilateral financial institution in the world. The EIB finances and invests both through equity and debt solutions companies and projects that achieve the policy aims of the European Union through loans, equity and guarantees. The EIB focuses on the areas of climate, environment, small and medium-sized enterprises (SMEs), development, cohesion and infrastructure. It has played

266-442: A sui generis political entity combining the characteristics of both a federation and a confederation . Containing 5.8% of the world population in 2020, EU member states generated a nominal gross domestic product (GDP) of around US$ 16.6   trillion in 2022, constituting approximately one sixth of global nominal GDP . Additionally, all EU states except Bulgaria have a very high Human Development Index according to

399-688: A European customs union for the struggling post-war European economies, and in 1923 the oldest organisation for European integration, the Paneuropean Union was founded, led by Richard von Coudenhove-Kalergi , who later would found in June 1947 the European Parliamentary Union (EPU). Aristide Briand —who was Prime Minister of France , a follower of the Paneuropean Union, and Nobel Peace Prize laureate for

532-669: A proposal that linked funding with adherence to the rule of law . The budget included a COVID-19 recovery fund of €750   billion. The budget may still be approved if Hungary and Poland withdraw their vetoes after further negotiations in the council and the European Council . Bodies combatting fraud have also been established, including the European Anti-fraud Office and the European Public Prosecutor's Office . The latter

665-529: A " collective head of state " and ratifies important documents (for example, international agreements and treaties). Tasks for the president of the European Council are ensuring the external representation of the EU, driving consensus and resolving divergences among member states, both during meetings of the European Council and over the periods between them. The European Council should not be mistaken for

798-611: A broad forum to further cooperation and shared issues, achieving for example the European Convention on Human Rights in 1950. Essential for the actual birth of the institutions of the EU was the Schuman Declaration on 9 May 1950 (the day after the fifth Victory in Europe Day ) and the decision by six nations (France, Belgium, Netherlands, Luxembourg, West Germany and Italy) to follow Schuman and draft

931-522: A large role in providing finance during crises including the 2008 financial crash and the COVID-19 pandemic. Over 60 years since its inception in 1958 to 2018 the EIB has invested over 1.1 trillion euros. It primarily funds projects that "cannot be entirely financed by the various means available in the individual Member States". The EIB is one of the biggest financiers of green finance in the world. In 2007,

1064-546: A permanent president of the European Council , the first of which was Herman Van Rompuy , and strengthened the position of the high representative of the union for foreign affairs and security policy . In 2012, the EU received the Nobel Peace Prize for having "contributed to the advancement of peace and reconciliation, democracy, and human rights in Europe". In 2013, Croatia became the 28th EU member. From

1197-549: A pooled military aid package to Ukraine for lethal weapons funded via the European Peace Facility off-budget instrument. Next Generation EU ( NGEU ) is a European Commission economic recovery package to support the EU member states to recover from the COVID-19 pandemic , in particular those that have been particularly hard hit. It is sometimes styled NextGenerationEU and Next Gen EU , and also called

1330-501: A portion of possible losses from a portfolio of loans and sets the ground for additional financing. A guarantee is a legal contract with which a third party (guarantor) promises to assume a borrower's debt or other liabilities in the event of default . The European Investment Bank's advisory services are carried out by the European Advisory Hub and are available for public and private projects inside as well as outside

1463-460: A possibility of strong changes in the 2024 elections. Since the end of World War II , sovereign European countries have entered into treaties and thereby co-operated and harmonised policies (or pooled sovereignty ) in an increasing number of areas, in the European integration project or the construction of Europe ( French : la construction européenne ). The following timeline outlines

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1596-713: A post-war world and Europe increasingly became a part of the agenda. This led to a decision at the Yalta Conference in 1944 to form a European Advisory Commission , later replaced by the Council of Foreign Ministers and the Allied Control Council , following the German surrender and the Potsdam Agreement in 1945. By the end of the war, European integration became seen as an antidote to

1729-517: A project's overall cost, for the public and the private sector, and for small and medium-sized businesses through intermediated lending partners. The EIB's private sector financing of single large investment projects or investment programmes start from €25 million. It offers framework loans starting from €100 million to public sector entities for investment programmes that consist of a number of smaller projects. Loans for both private and public sector projects have to be aligned with one or more priorities of

1862-598: A right of unilateral withdrawal under Article 50 of the Treaty on European Union. In addition, the principle of subsidiarity requires that only those matters that need to be determined collectively are so determined. Under the principle of supremacy , national courts are required to enforce the treaties that their member states have ratified, even if doing so requires them to ignore conflicting national law, and (within limits) even constitutional provisions. The direct effect and supremacy doctrines were not explicitly set out in

1995-588: A separately listed company, was delisted and came under full ownership of Groupe BPCE in 2021. BPCE has been designated as a Significant Institution since the entry into force of European Banking Supervision in late 2014, and as a consequence is directly supervised by the European Central Bank . It is also designated as a global systemically important bank (G-SIB) by the Financial Stability Board . In 2008 and early 2009,

2128-668: A set number of seats and is divided into sub-national constituencies where this does not affect the proportional nature of the voting system. In the ordinary legislative procedure , the European Commission proposes legislation, which requires the joint approval of the European Parliament and the Council of the European Union to pass. This process applies to nearly all areas, including the EU budget . The parliament

2261-619: A wide network of commercial Banks, national Banks and institutions, leasing companies, venture capital and private equity funds, angel investors and various providers. Within the European Commission's Investment Plan for Europe , the EIB Group and the European Investment Fund for Strategic Investments are part of a plan aimed at relieving investors of some of the risks inherent in projects. Project financing

2394-460: A €25 billion fund which was endorsed by the European Council as part of the overall European Union COVID-19 response package . All 27 EU Member States were invited to contribute to the fund in the form of guarantees proportional to the respective share in the bank. Using the EGF, the EIB group 'aimed to mobilise' up to €200 billion of additional financing for small and medium-sized European businesses from

2527-646: Is a decentralized independent body of the European Union (EU), established under the Treaty of Lisbon between 22 of the 27 states of the EU following the method of enhanced cooperation . The European Public Prosecutor's Office investigate and prosecute fraud against the budget of the European Union and other crimes against the EU's financial interests including fraud concerning EU funds of over €10,000 and cross-border VAT fraud cases involving damages above €10 million. Member states retain in principle all powers except those that they have agreed collectively to delegate to

2660-496: Is a not for profit organisation and provides long-term project funding, guarantees and advice to further the goals of the European Union. It is part of the European Commission's Investment Plan for Europe strategy which aims to bridge investment gaps by taking on some of the risk in projects it funds. The bank funds projects in the areas of; climate, environment, innovation and skills, infrastructure, small and medium-sized enterprises, cohesion and development as well as crises including

2793-640: Is based in Kirchberg, Luxembourg City alongside the Court of Justice of the European Union and the European Court of Auditors. Constitutionally, the EU bears some resemblance to both a confederation and a federation , but has not formally defined itself as either. (It does not have a formal constitution: its status is defined by the Treaty of European Union and the Treaty on the Functioning of

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2926-550: Is fully owned by local savings banks and popular banks, which in turn are legally owned by their customers as cooperative members. BPCE provides various deposit and loan products to small and medium enterprises, craftspeople, franchisees, and franchisers; savings collection and management, credit, payment, and wealth management services; and real estate financing and corporate banking services. The company also offers bancassurance products, including life assurance and pensions that comprise automobile and home insurance, legal protection,

3059-574: Is granted after preliminary screenings of the viability and the carbon emissions associated with the projects. The European Investment Bank has provided financial resources for both economic impacts of the pandemic and for health-related emergencies, the search for a vaccine against COVID-19, and solutions to slow the spread of the virus. On 26 May 2020, the EIB Board of Directors approved the Pan-European Guarantee Fund (EGF),

3192-467: Is inconsistent with EU law. It is not possible to appeal against the decisions of national courts in the CJEU, but rather national courts refer questions of EU law to the CJEU. However, it is ultimately for the national court to apply the resulting interpretation to the facts of any given case. Although, only courts of final appeal are bound to refer a question of EU law when one is addressed. The treaties give

3325-449: Is limited. Through intermediaries, the EIB finances micro-enterprises (0–9 employees), small enterprises (10–49 employees), medium-sized enterprises (50–249 employees), mid-caps (250-3 000 employees). In 2019 the EIB Group provided €25.52 billion in loans and other services to 386,600 SMEs and mid-caps which employ 4.4 million. As a supranational institution, the EIB focuses on economic, social and territorial cohesion and solidarity within

3458-598: Is organised as a directorial system , where the executive power is jointly exercised by several people. The executive branch consists of the European Council and European Commission. The European Council sets the broad political direction of the Union. It convenes at least four times a year and comprises the president of the European Council (presently Charles Michel ), the president of the European Commission and one representative per member state (either its head of state or head of government ). The high representative of

3591-833: Is part of InnovFin, the EU Finance for Innovators, a joint initiative of the EIB Group in cooperation with the European Commission under Horizon 2020 ). Through it the EIB Group provides direct financing to mid-caps . The group also offers venture debt financing under the European Growth Finance Facility, backed by the European Fund for Strategic Investments . The EIB Group works with a broad network of commercial Banks, national promotional Banks and institutions, leasing companies, venture capital and private equity funds, angel investors and service providers, including in regions where access to finance

3724-491: Is rated triple-A, the most credit-worthy rating on the bond market, by "the Big Three" credit rating agencies: Moody's, Standard and Poor's, and Fitch. Each member state pays capital into the EIB's reserves which is broadly in line with their share of EU gross domestic product. The EIB was founded by the Treaty of Rome , which came into force on 1 January 1958. It was the first of the world's regional development banks and

3857-562: Is regulated to try to balance the aspirations of private initiatives with public interest decision-making process. The European Union had an agreed budget of €170.6  billion in 2022. The EU had a long-term budget of €1,082.5 billion for the period 2014–2020, representing 1.02% of the EU-28's GNI. In 1960, the budget of the European Community was 0.03 per cent of GDP. Of this, €54bn subsidised agriculture enterprise , €42bn

3990-782: Is sometimes referred to as the largest multilateral development bank (MDB). The EIB was established to facilitate equitable development in the EU through lending to regions that are less developed and to support the EU's internal market. The EIB is active in 140 countries throughout the world. It makes around 10% of its investments outside the EU to support the European Union's development aid and cooperation policies. The EIB has been criticised and caused controversy for various actions and inactions of its own (or projects it funded), including: insufficient stakeholder consultation, lack of organisational transparency, climate change response, defense and promotion of vegetarian and vegan values, tax avoidance, and staff harassment. The European Investment Bank

4123-770: Is the European Union's bank and is owned by the Member States of the European Union. Its role is to fund projects that achieve the aims of the European Union. Most of the EIB's activity (90%) takes place inside the European Union with the aim of fostering European integration and development. It makes investments outside Europe to support the EU's development aid and cooperation policies. It is active in 140 countries which are grouped into: Enlargement countries, European Free Trade Association (EFTA) , EU Southern Neighbourhood, EU Eastern Neighbourhood, Sub-Saharan Africa , Caribbean and Pacific, Asia and Latin America, Central Asia and

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4256-512: Is the final body to approve or reject the proposed membership of the commission, and can attempt motions of censure on the commission by appeal to the Court of Justice . The president of the European Parliament carries out the role of speaker in Parliament and represents it externally. The president and vice-presidents are elected by MEPs every two and a half years. The judicial branch of

4389-450: Is the process of improving a company's creditworthiness by taking internal and external measures. The EIB increases the protection of the senior debt, enhances the credit rating and credit quality for project finance and aims to help projects attract further private finance from institutional investors. By offering guarantees to small and medium-sized enterprises or mid-caps , the Bank covers

4522-485: Is then able to recruit staff from among the pool of candidates selected by EPSO. On average, EPSO receives around 60,000–70,000 applications a year with around 1,500–2,000 candidates recruited by the European Union institutions. The European Ombudsman is the ombudsman branch of the European Union that holds the institutions, bodies and agencies of the EU to account, and promotes good administration. The Ombudsman helps people, businesses and organisations facing problems with

4655-522: The COVID-19 pandemic and the financial crisis of 2007–2008 . Since 1959 the European Investment Bank has signed almost 25,000 projects around the world. It funds projects both inside and outside the EU that meet one of the criteria of; in less developed regions, where projects can not be funded by individual member states and projects which benefit multiple member states. The bank aims to support sustainable economic growth both within

4788-704: The Common Foreign and Security Policy , the union has developed a role in external relations and defence . It maintains permanent diplomatic missions throughout the world and represents itself at the United Nations , the World Trade Organization , the G7 and the G20 . Due to its global influence, the European Union has been described by some scholars as an emerging superpower . The EU

4921-669: The Council of Europe , an international organisation independent of the EU and based in Strasbourg. The European Commission acts both as the EU's executive arm , responsible for the day-to-day running of the EU, and also the legislative initiator , with the sole power to propose laws for debate. The commission is 'guardian of the Treaties' and is responsible for their efficient operation and policing. It has 27 European commissioners for different areas of policy, one from each member state, though commissioners are bound to represent

5054-475: The Court of Justice of the European Union , the European Central Bank and the European Court of Auditors . Competence in scrutinising and amending legislation is shared between the Council of the European Union and the European Parliament, while executive tasks are performed by the European Commission and in a limited capacity by the European Council (not to be confused with the aforementioned Council of

5187-742: The Declaration of St James's Palace of 1941, when Europe's resistance gathered in London. This was expanded on by the 1941 Atlantic Charter , establishing the Allies and their common goals, inciting a new wave of global international institutions like the United Nations ( founded 1945 ) or the Bretton Woods System (1944). In 1943 at the Moscow Conference and Tehran Conference , plans to establish joint institutions for

5320-1056: The European Regional Development Fund (ERDF), the European Agricultural Fund for Rural Development (EAFRD), the European Social Fund Plus (ESF+), the European Maritime, Fisheries and Aquaculture Fund (EMFAF), and the Asylum, Migration and Integration Fund (AMIF). Apart from financing projects using its own resources, the European Investment Bank establishes mandates and partnerships which help to fund riskier projects and to blend loans with grants ; which are disbursed funds or products that do not require repayment. Mandates can also involve financial investment and can be based on technical and financial advice. The EIB has partnerships with organisations across

5453-512: The European Union Recovery Instrument . Agreed in principle by the European Council on 21 July 2020 and adopted on 14 December 2020, the instrument is worth € 750 billion . NGEU will operate from 2021 to 2026, and will be tied to the regular 2021–2027 budget of the EU's Multiannual Financial Framework (MFF). The comprehensive NGEU and MFF packages are projected to reach €1824.3 billion. Preparing

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5586-634: The French Union was installed by the new Fourth French Republic to direct the decolonization of its colonies so that they would become parts of a European community. By 1947 a growing rift between the western Allied Powers and the Soviet Union became evident as a result of the rigged 1947 Polish legislative election , which constituted an open breach of the Yalta Agreement . March of that year saw two important developments. First

5719-571: The Locarno Treaties —delivered a widely recognized speech at the League of Nations in Geneva on 5 September 1929 for a federal Europe to secure Europe and settle the historic Franco-German enmity . With large-scale war being waged in Europe once again in the 1930s and becoming World War II , the question of what to fight against and what for, had to be agreed on. A first agreement was

5852-920: The Treaty of Brussels was signed, establishing the Western Union (WU), followed by the International Authority for the Ruhr . Furthermore, the Organisation for European Economic Co-operation (OEEC), the predecessor of the OECD, was also founded in 1948 to manage the Marshall Plan , which led to the Soviets creating Comecon in response. The ensuing Hague Congress of May 1948 was a pivotal moment in European integration, as it led to

5985-779: The Treaty of Paris . This treaty was created in 1952 the European Coal and Steel Community (ECSC), which was built on the International Authority for the Ruhr , installed by the Western Allies in 1949 to regulate the coal and steel industries of the Ruhr area in West Germany. Backed by the Marshall Plan with large funds coming from the United States since 1948, the ECSC became a milestone organisation, enabling European economic development and integration and being

6118-547: The United Kingdom . Norway had negotiated to join at the same time, but Norwegian voters rejected membership in a referendum . The Ostpolitik and the ensuing détente led to establishment of a first truly pan-European body, the Conference on Security and Co-operation in Europe (CSCE), predecessor of the modern Organization for Security and Co-operation in Europe (OSCE). In 1979, the first direct elections to

6251-559: The United Nations Development Programme . Its cornerstone, the Customs Union , paved the way to establishing an internal single market based on standardised legal framework and legislation that applies in all member states in those matters, and only those matters, where the states have agreed to act as one. EU policies aim to ensure the free movement of people, goods, services and capital within

6384-440: The Western Union , the International Authority for the Ruhr , the European Coal and Steel Community , the European Economic Community and the European Atomic Energy Community , which were established by treaties. These increasingly amalgamated bodies grew, with their legal successor the EU, both in size through the accessions of a further 22 states from 1973 to 2013, and in power through acquisitions of policy areas. In 2012,

6517-440: The extreme nationalism that had caused the war. On 19 September 1946, in a much recognized speech, Winston Churchill , speaking at the University of Zürich , reiterated his calls since 1930 for a "European Union" and "Council of Europe", coincidentally parallel to the Hertenstein Congress of the Union of European Federalists , one of the then founded and later constituting members of the European Movement . One month later,

6650-457: The monetary branch of the European Union, the prime component of the Eurosystem and the European System of Central Banks. It is one of the world's most important central banks . The ECB Governing Council makes monetary policy for the Eurozone and the European Union, administers the foreign exchange reserves of EU member states, engages in foreign exchange operations, and defines the intermediate monetary objectives and key interest rate of

6783-447: The principle of conferral (which says that it should act only within the limits of the competences conferred on it by the treaties ) and of subsidiarity (which says that it should act only where an objective cannot be sufficiently achieved by the member states acting alone). Laws made by the EU institutions are passed in a variety of forms. Generally speaking, they can be classified into two groups: those which come into force without

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6916-480: The 1960s, tensions began to show, with France seeking to limit supranational power. Nevertheless, in 1965 an agreement was reached, and on 1 July 1967 the Merger Treaty created a single set of institutions for the three communities, which were collectively referred to as the European Communities . Jean Rey presided over the first merged commission ( Rey Commission ). In 1973, the communities were enlarged to include Denmark (including Greenland), Ireland, and

7049-507: The Bank offers Green Bonds and Sustainability Awareness Bonds. The European Investment Bank issued the first Green Bond in 2007, called a Climate Awareness Bond. The EIB is the global leader of Green Bonds issuance with over EUR 30.8bn raised in 2020 across 16 currencies. With the money raised through Green Bonds, the EIB exclusively supports projects that contribute to climate action in the renewable energy sector (including wind , hydroelectric , solar and geothermal energy production) and

7182-415: The CJEU the power for consistent application of EU law across the EU as a whole. The court also acts as an administrative and constitutional court between the other EU institutions and the Member States and can annul or invalidate unlawful acts of EU institutions, bodies, offices and agencies. The General Court is a constituent court of the European Union. It hears actions taken against the institutions of

7315-422: The COVID-19 pandemic It also expanded its partnership with the United Nations Development Programme and increased cooperation with the Association of European Development Finance Institutions to assist impacted businesses in developing countries, providing financing for €280 million partnered with the World Health Organization to finance health care projects in 10 African countries. Since its foundation in 1958,

7448-417: The Council of the European Union and the "Council of Ministers", its former title), forms one half of the EU's legislature. It consists of a representative from each member state's government and meets in different compositions depending on the policy area being addressed . Notwithstanding its different configurations, it is considered to be one single body. In addition to the legislative functions, members of

7581-401: The ECB and the national central banks (NCBs) of all 27 member states of the European Union. The ESCB is not the monetary authority of the eurozone, because not all EU member states have joined the euro. The ESCB's objective is price stability throughout the European Union. Secondarily, the ESCB's goal is to improve monetary and financial cooperation between the Eurosystem and member states outside

7714-448: The EIB Group invested €36.2 billion in cohesion-related initiatives. European Union in Europe  (dark grey) The European Union ( EU ) is a supranational political and economic union of 27 member states that are located primarily in Europe. The Union has a total area of 4,233,255 km (1,634,469 sq mi) and an estimated total population of over 449   million. The EU has often been described as

7847-408: The EIB became the first institution in the world to issue green bonds . In 2019 it committed to stop funding fossil fuel projects by the end of 2021. The EIB plans to invest 1 trillion euros in climate-related projects by 2030 including a just transition . The EIB is not funded through the budget of the EU . Instead, it raises money through the international capital markets by issuing bonds. The EIB

7980-421: The EIB provides direct quasi-equity financing to support companies aiming for financing to grow which involves venture debt products for European companies in the field of biotech and life sciences , software and ICT , engineering and automation , renewables and clean technology . These investments, which are a relatively recent addition to the bank's work, tend to be smaller than its previous limits on

8113-727: The EIB. Besides direct debt financing or project finance for the private sector, the EIB makes loans to intermediaries including Groupe BPCE (France), Deutsche Bank AG (Germany), or Intesa Sanpaolo (Italy) that provide small and medium-sized businesses with local and targeted funds up to €12.5 million and below the EIB's threshold for direct private financing of €25 million. The European Investment Bank invests and co-invests in companies and funds that focus on infrastructure, environment, or small- and medium-sized enterprises and mid-size corporations in exchange for equity which allows companies to raise capital by selling shares for short term costs or to achieve long-term financial goals. In some cases,

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8246-401: The EU administration by investigating complaints, as well as by proactively looking into broader systemic issues. The current Ombudsman is Emily O'Reilly . The European Public Prosecutor's Office (EPPO) is the prosecutory branch of the union with juridical personality, established under the Treaty of Lisbon between 23 of the 27 states of the EU following the method of enhanced cooperation. It

8379-474: The EU was awarded the Nobel Peace Prize . The United Kingdom became the only member state to leave the EU , in 2020; ten countries are aspiring or negotiating to join it . Internationalism and visions of European unity had existed since well before the 19th century, but gained particularly as a reaction to World War I and its aftermath. In this light the first advances for the idea of European integration were made. In 1920 John Maynard Keynes proposed

8512-420: The EU, which together with the Council of the European Union is tasked with amending and approving the European Commission's proposals. 705 members of the European Parliament (MEPs) are directly elected by EU citizens every five years on the basis of proportional representation . MEPs are elected on a national basis and they sit according to political groups rather than their nationality. Each country has

8645-436: The EU. The ECB Executive Board enforces the policies and decisions of the Governing Council, and may direct the national central banks when doing so. The ECB has the exclusive right to authorise the issuance of euro banknotes . Member states can issue euro coins , but the volume must be approved by the ECB beforehand. The bank also operates the TARGET2 payments system. The European System of Central Banks (ESCB) consists of

8778-437: The Euro . After the economic crisis caused by the COVID-19 pandemic , the EU leaders agreed for the first time to create common debt to finance the European Recovery Program called Next Generation EU (NGEU). On 24 February 2022, after massing on the borders of Ukraine, the Russian Armed Forces undertook an attempt for a full-scale invasion of Ukraine. The European Union imposed heavy sanctions on Russia and agreed on

8911-429: The European Commission or other public authorities, from the European Investment Bank or at its own risk. In 2012, the EIB Institute was created to promote and support social, cultural, and academic initiatives with European stakeholders and the public at large. It works on community and citizenship for the EIB Group. The EIB Institute is an integral part of the EIB and does not have a separate legal personality. The EIB

9044-400: The European Community and the EU, and then made amendments to those founding treaties. These are power-giving treaties which set broad policy goals and establish institutions with the necessary legal powers to implement those goals. These legal powers include the ability to enact legislation which can directly affect all member states and their inhabitants. The EU has legal personality , with

9177-428: The European Council of its decision to leave on 29 March 2017, initiating the formal withdrawal procedure for leaving the EU ; following extensions to the process, the UK left the European Union on 31 January 2020, though most areas of EU law continued to apply to the UK for a transition period which lasted until 31 December 2020. The early 2020s saw Denmark abolishing one of its three opt-outs and Croatia adopting

9310-420: The European Council. The other 25 commissioners are subsequently appointed by the Council of the European Union in agreement with the nominated president. The 27 commissioners as a single body are subject to approval (or otherwise) by a vote of the European Parliament . All commissioners are first nominated by the government of the respective member state. The council, as it is now simply called (also called

9443-444: The European Investment Bank has supported the development of infrastructure for both EU Member States and third countries. In 2019, the EIB provided €15.74 billion to support infrastructure projects. The EIB supports infrastructure projects involving; sustainable transport ; energy efficiency , urban development, digital networks, social housing and key public buildings, cultural heritage and water and wastewater management. The bank

9576-548: The European Investment Bank's activity takes place inside the European Union with the aim of fostering European integration and development. It makes investments outside Europe to support the European Union's development aid and cooperation policies. It is active in some 140 countries throughout the world in the following geographical areas: Enlargement countries , European Free Trade Association (EFTA) , EU Southern Neighbourhood, EU Eastern Neighbourhood, Sub-Saharan Africa, Caribbean and Pacific, Asia and Latin America, Central Asia and

9709-618: The European Parliament were held. Greece joined in 1981. In 1985, Greenland left the Communities , following a dispute over fishing rights. During the same year, the Schengen Agreement paved the way for the creation of open borders without passport controls between most member states and some non-member states. In 1986, the Single European Act was signed. Portugal and Spain joined in 1986. In 1990, after

9842-500: The European Treaties but were developed by the Court of Justice itself over the 1960s, apparently under the influence of its then most influential judge, Frenchman Robert Lecourt . The question whether the secondary law enacted by the EU has a comparable status in relation to national legislation, has been a matter of debate among legal scholars. The European Union is based on a series of treaties . These first established

9975-527: The European Union by individuals and member states, although certain matters are reserved for the Court of Justice. Decisions of the General Court can be appealed to the Court of Justice, but only on a point of law. Prior to the coming into force of the Lisbon Treaty on 1 December 2009, it was known as the Court of First Instance. The European Central Bank (ECB) is one of the institutions of

10108-410: The European Union ). It is more integrated than a traditional confederation of states because the general level of government widely employs qualified majority voting in some decision-making among the member states, rather than relying exclusively on unanimity. It is less integrated than a federal state because it is not a state in its own right: sovereignty continues to flow 'from the bottom up', from

10241-481: The European Union is formally called the Court of Justice of the European Union (CJEU) and consists of two courts: the Court of Justice and the General Court . The Court of Justice is the supreme court of the European Union in matters of European Union law . As a part of the CJEU, it is tasked with interpreting EU law and ensuring its uniform application across all EU member states under Article 263 of

10374-554: The European Union). The monetary policy of the eurozone is determined by the European Central Bank. The interpretation and the application of EU law and the treaties are ensured by the Court of Justice of the European Union. The EU budget is scrutinised by the European Court of Auditors. There are also a number of ancillary bodies which advise the EU or operate in a specific area. The Union's executive branch

10507-473: The European Union. Besides advice on specific investment mechanisms or market development, the services can involve strategic and technical guidance on completing a project. Prior to a funding agreement with the EIB or other investors, future clients can make use of the bank's expertise in the fields of financial structuring, procurement and regulation, or impact assessment, e.g. regarding a project's implications on climate change. It does not offer advice related to

10640-518: The French state provided around 7 billion euros of financial support to the group formed by Caisse d'Épargne, Banque Populaire and their joint venture Natixis. François Pérol , a senior aide to President Nicolas Sarkozy , led the decision-making on the group's restructuring. The entity resulting from the merger of CNCE and BFBP, named BPCE, was formed on 2009-07-31. That same day, Pérol became its CEO while Philippe Dupont  [ fr ] , previously

10773-435: The Member States of the European Union and externally. Because of its AAA credit rating in the international markets the EIB is able to borrow and lend at low rates. The bank pursues the objectives of the European Union by providing long-term project funding, as well as guarantees and advice. The EIB Group (European Investment Bank and European Investment Fund) supports companies, small businesses and start-ups by cooperating with

10906-407: The Member States of the European Union and outside the EU. The EIB prioritises projects addressing inequalities by providing jobs and education, public infrastructure and services, a sustainable environment across the European Union. The EIB's annual target for cohesion financing is 30% of all new operations in the EU, Pre-Accession and EFTA countries which amounted to €16.13 billion in 2019. In 2023,

11039-683: The Netherlands , and West Germany signed the Treaty of Rome , which created the European Economic Community (EEC) and established a customs union . They also signed another pact creating the European Atomic Energy Community (Euratom) for cooperation in developing nuclear power. Both treaties came into force in 1958. Although the EEC and Euratom were created separately from the ECSC, they shared

11172-782: The Soviets. Immediately following the February 1948 coup d'état by the Communist Party of Czechoslovakia , the London Six-Power Conference was held, resulting in the Soviet boycott of the Allied Control Council and its incapacitation, an event marking the beginning of the Cold War . The year 1948 marked the beginning of the institutionalised modern European integration . In March 1948

11305-541: The Treaty of the Functioning of the European Union (TFEU). The Court was established in 1952, and is based in Luxembourg . It is composed of one judge per member state – currently 27 – although it normally hears cases in panels of three, five or fifteen judges. The Court has been led by president Koen Lenaerts since 2015. The CJEU is the highest court of the European Union in matters of Union law . Its case-law provides that EU law has supremacy over any national law that

11438-430: The Union as a whole, though the exact delimitation has on occasions become a subject of scholarly or legal disputes. In certain fields, members have awarded exclusive competence and exclusive mandate to the Union. These are areas in which member states have entirely renounced their own capacity to enact legislation. In other areas, the EU and its member states share the competence to legislate. While both can legislate,

11571-554: The Union for a new great enlargement is a political priority for the Union, with the goal of achieving over 35 member states by 2030. Institutional and budgetary reforms are being discussed in order to the Union to be ready for the new members. In May 2024, concerns rise, that the outcome of the elections in June, can undermine some of the crucial policies of the EU in the domain of environment, diplomacy, economy . The war in Ukraine by creating inflation, lowering life level created

11704-502: The Union. Financial instruments co-funded by EU shared management funds, such as loans, guarantees, and equity investments, are efficient ways to invest in growth and development across the European Union. These instruments leverage public funding to attract additional private investments, contributing to EU policy objectives like economic growth, job creation, and social cohesion. fi-compass offers tailored advice on using financial instruments under various EU shared management funds, including

11837-675: The United Kingdom. As an independent body the bank takes its own borrowing and lending decisions. It cooperates with other EU institutions, especially the European Commission , the European Parliament , and the Council of the European Union . The EIB lends to both the private and the public sector through various financial products: Financing is the Bank's main activity, it also provides guidance on how to utilise additional sources of investment. The European Investment Bank provides long-term loans , typically up to 50% of

11970-743: The United Kingdom. It is one of the largest supranational lenders in the world. Since its establishment in 1958, the European Investment Bank has invested over a trillion euros. The European Investment Fund (EIF) is the European Union's venture capital arm. It also provides guarantees for small and medium-sized enterprises (SMEs). In 2018, 25 million SMEs in the EU made up 99.8% of all non-financial enterprises, employed around 97.7 million people (66.6% of total employment) and generated 56.4% of total added value (EUR 4,357bn). The EIF supports businesses through all their stages of development; pre-seed, seed-, and start-up-phase (technology transfer, business angel financing, microfinance, early stage venture capital) to

12103-675: The WEU and NATO in 1955, prompting the Soviet Union to form the Warsaw Pact in 1955 as an institutional framework for its military domination in the countries of Central and Eastern Europe . Assessing the progress of European integration the Messina Conference was held in 1955, ordering the Spaak report , which in 1956 recommended the next significant steps of European integration. In 1957, Belgium , France , Italy , Luxembourg ,

12236-571: The aim of contributing to stable growth within the Member States of the European Union, emerging markets and developing countries. Since 2010 the EIB financing outside the European Union reached €69.6 billion. In 2020 the European Investment Bank Group has offered loans to more than 100 countries, financed vaccines, diagnostics and treatments and invested €1.7 billion to help the Western Balkan countries recover from

12369-512: The beginning of the 2010s, the cohesion of the European Union has been tested by several issues, including a debt crisis in some of the Eurozone countries , a surge in asylum seekers in 2015 , and the United Kingdom's withdrawal from the EU . A referendum in the UK on its membership of the European Union was held in 2016, with 51.9 per cent of participants voting to leave. The UK formally notified

12502-549: The chairman of Groupe Banque Populaire, became non-executive chairman of BPCE. In 2014, BPCE had Coface listed through an initial public offering, and subsequently reduced its equity stake. As of March 2021, BPCE retained residual ownership of 12.7 percent of Coface's capital. In July 2016, BPCE announced the purchase of Fidor Bank , a Fintech challenger bank, operating in the UK and Germany, but in November 2018 considered selling it again. In 2018–2019, BPCE fully integrated

12635-416: The council also have executive responsibilities, such as the development of a Common Foreign and Security Policy and the coordination of broad economic policies within the Union. The Presidency of the council rotates between member states, with each holding it for six months. Beginning on 1 July 2024, the position is held by Hungary. The European Parliament is one of three legislative institutions of

12768-574: The creation of the European Movement International , the College of Europe and most importantly to the foundation of the Council of Europe on 5 May 1949 (which is now Europe Day ). The Council of Europe was one of the first institutions to bring the sovereign states of (then only Western) Europe together, raising great hopes and fevered debates in the following two years for further European integration. It has since been

12901-474: The decision by two Member States to increase their capital subscriptions ( Poland and Romania ). The EIB's total subscribed capital now amounts to EUR 248.8 billion. The departure of the UK from the EU did not impact the EIB Group's AAA credit rating. The EIB Group was formed in 2000. It is composed of the European Investment Bank (EIB) and the European Investment Fund (EIF) and the EIB Institute. 90%

13034-513: The development and commercialisation of new products, economic processes and business models, increased investment in research and development, education, upskilling and training and improved connectivity and access through broadband and mobile networks. In addition; the adoption and diffusion of digital and other emerging technologies and empowering women's participation in the labour market. The EIB Group finances sustainable projects and supports investments that reduce poverty and inequality aims with

13167-493: The energy efficiency sector (e.g. projects for district heating , co-generation, and building insulation). The European Investment Bank's has capital from its shareholders, the Member States of the European Union. Each Member State is subscribed in capital based on its economic weight (expressed in Gross domestic product ) within the European Union at the time of the country's accession to the European Union. Following Brexit and

13300-456: The entire cabinet, the final say in accepting or rejecting a candidate submitted for a given portfolio by a member state, and oversees the commission's permanent civil service. After the President, the most prominent commissioner is the high representative of the union for foreign affairs and security policy, who is ex-officio a vice-president of the European Commission and is also chosen by

13433-402: The euro, followed by Cyprus and Malta in 2008, Slovakia in 2009, Estonia in 2011, Latvia in 2014, and Lithuania in 2015. On 1 December 2009, the Lisbon Treaty entered into force and reformed many aspects of the EU. In particular, it changed the legal structure of the European Union, merging the EU three pillars system into a single legal entity provisioned with a legal personality , created

13566-481: The eurozone. The European Court of Auditors (ECA) is the auditory branch of the European Union. It was established in 1975 in Luxembourg in order to improve EU financial management. It has 27 members (1 from each EU member-state) supported by approximately 800 civil servants. The European Personnel Selection Office (EPSO) is the EU's civil service recruitment body and operates its selection of candidates via generalist and specialist competitions. Each institution

13699-554: The fall of the Eastern Bloc , the former East Germany became part of the communities as part of a reunified Germany . The European Union was formally established when the Maastricht Treaty —whose main architects were Horst Köhler , Helmut Kohl and François Mitterrand —came into force on 1 November 1993. The treaty also gave the name European Community to the EEC, even if it was referred to as such before

13832-533: The first carbon-neutral continent by 2050. It finances projects that; limit global warming to 1.5 °C by the end of the decade, fight environmental degradation , stop biodiversity loss and address inequalities caused by climate change. In 2019, the European Investment Bank Group financed projects for €19.3 billion to fight climate change. Since 2000, the EIB has financed projects which include skills development with more than €210 billion of investment, including €14.4 billion in 2019. This support targeted/aimed at;

13965-505: The former Crédit Foncier de France 's activities into its other operations and terminated the use of the Crédit Foncier brand. In June–July 2021, it acquired all shares of Natixis that it did not previously own, and completed the entity's delisting on 2021-07-31. Despite the 2009 merger, the two networks of local banks, Caisse d'Épargne and Banque Populaire, continue to operate under separate and to an extent competing brands. BPCE

14098-724: The goals and principles of the Paris Agreement by the end of 2020. In November 2020, the EU member states approved the EIB Group Climate Bank Roadmap 2021–2025 that outlines its upcoming contributions to the European Green Deal and to sustainable development outside the EU. By the end of 2021, the EIB will stop financing all fossil fuel projects. The EIB contributes to the European Green Deal which aims for Europe to become

14231-455: The growth and development segment (formal venture capital funds, mezzanine funds, portfolio guarantees/credit enhancement). The European Investment Bank is the EIF's majority shareholder, holding 62% of shares. The other main shareholder is the European Commission, which holds 29% of shares. The EIF operates on the basis of specific mandates from the European Council and the European Parliament, from

14364-415: The guarantee of life accidents, the supplementary health care insurance, welfare professionals and the collective retirement pensions and health, as well as credit insurance and guarantees to individuals, professionals, real estate professionals, and businesses. Groupe BPCE has had three chief executives ( French : président du directoire ) so far: In 2010 the French government's competition authority,

14497-778: The institutions of the developing European community under the European Political Community , which was to include the also proposed European Defence Community , an alternative to West Germany joining NATO which was established in 1949 under the Truman Doctrine . In 1954 the Modified Brussels Treaty transformed the Western Union into the Western European Union (WEU). West Germany eventually joined both

14630-425: The interests of the EU as a whole rather than their home state. The leader of the 27 is the president of the European Commission (presently Ursula von der Leyen for 2019–2024, reelected for the 2024-2029 term), proposed by the European Council , following and taking into account the result of the European elections, and is then elected by the European Parliament. The President retains, as the leader responsible for

14763-468: The internal market; enact legislation in justice and home affairs; and maintain common policies on trade , agriculture , fisheries and regional development . Passport controls have been abolished for travel within the Schengen Area . The eurozone is a group composed of the 20 EU member states that have fully implemented the economic and monetary union and use the euro currency . Through

14896-399: The international capital markets. The EIB issues bonds to borrow money on capital markets which it then lends to its clients, which is a common way for governments and corporations to borrow money. Both parties agree on a fixed date when the loan is due to be paid back usually including an interest rate. The EIB's bonds are purchased by retail investors and institutional investors around

15029-534: The legal inception of the European Union (EU)—the principal framework for this unification. The EU inherited many of its present responsibilities from the European Communities (EC), which were founded in the 1950s in the spirit of the Schuman Declaration . The European Union operates through a hybrid system of supranational and intergovernmental decision-making, and according to

15162-486: The member states can only legislate to the extent to which the EU has not. In other policy areas, the EU can only co-ordinate, support and supplement member state action but cannot enact legislation with the aim of harmonising national laws. That a particular policy area falls into a certain category of competence is not necessarily indicative of what legislative procedure is used for enacting legislation within that policy area. Different legislative procedures are used within

15295-507: The member states. Since then, the eurozone has increased to encompass 20 countries. The euro currency became the second-largest reserve currency in the world. In 2004, the EU saw its biggest enlargement to date when Cyprus, the Czech Republic, Estonia , Hungary , Latvia , Lithuania , Malta , Poland , Slovakia , and Slovenia joined the union. In 2007, Bulgaria and Romania became EU members. Later that year, Slovenia adopted

15428-420: The necessity for national implementation measures (regulations) and those which specifically require national implementation measures (directives). EU policy is in general promulgated by EU directives , which are then implemented in the domestic legislation of its member states , and EU regulations , which are immediately enforceable in all member states. Lobbying at the EU level by special interest groups

15561-479: The origin of the main institutions of the EU such as the European Commission and Parliament . Founding fathers of the European Union understood that coal and steel were the two industries essential for waging war, and believed that by tying their national industries together, a future war between their nations became much less likely. In parallel with Schuman, the Pleven Plan of 1951 tried but failed to tie

15694-423: The private sector. European Union companies are eligible to seek financing from the Pan-European Guarantee Fund if they have financial issues due to the economic implication of the COVID-19 pandemic but could have been able to secure loans under pre-crisis circumstances. In December 2019, the European Investment Bank signed a €50 million loan to help BioNTech work on cancer treatments. A new loan worth €100 million

15827-400: The purchase or sale of securities or any advisory services regarding project evaluation and audit. fi-compass is a comprehensive advisory service platform developed by the European Commission and the European Investment Bank (EIB) Group. It supports EU shared management managing authorities and other stakeholders by providing practical know-how and learning tools on financial instruments across

15960-595: The right to sign agreements and international treaties. Groupe BPCE Groupe BPCE (for B anque P opulaire C aisse d' E pargne) is a major French banking group formed by the 2009 merger of two major retail banking groups, Groupe Caisse d'Épargne and Groupe Banque Populaire . As of 2021, it was France's fourth-largest bank, the seventh largest in Europe, and the nineteenth in the world by total assets. It has more than 8,200 branches nationwide under their respective brand names serving nearly 150 million customers. Its wholesale banking subsidiary Natixis , previously

16093-408: The same category of competence, and even with the same policy area. The distribution of competences in various policy areas between member states and the union is divided into the following three categories: The European Union has seven principal decision-making bodies, its institutions : the European Parliament , the European Council , the Council of the European Union , the European Commission ,

16226-553: The same courts and the Common Assembly. The EEC was headed by Walter Hallstein ( Hallstein Commission ) and Euratom was headed by Louis Armand ( Armand Commission ) and then Étienne Hirsch ( Hirsch Commission ). The OEEC was in turn reformed in 1961 into the Organisation for Economic Co-operation and Development (OECD) and its membership was extended to states outside of Europe, the United States and Canada. During

16359-449: The several peoples of the separate member states, rather than from a single undifferentiated whole. This is reflected in the fact that the member states remain the 'masters of the Treaties', retaining control over the allocation of competences to the union through constitutional change (thus retaining so-called Kompetenz-kompetenz ); in that they retain control of the use of armed force; they retain control of taxation; and in that they retain

16492-675: The size of its deals, because they are aimed at startups and growth companies. The European Investment Fund (EIF) supports the EIB by working with SMEs and related financial partners (Banks, guarantee, leasing and microfinance institutions, private equity and venture capital funds etc.). The EIB's investments in equity and debt funds usually cover 10% to 20% of the fund size (with a maximum of 25%) and address climate action, infrastructure, or private sector development and social impact goals. The EIB provides credit enhancement of senior debt using subordinated financing , funded or unfunded guarantees and contingent credit lines. Credit enhancement

16625-505: The treaty. With further enlargement planned to include the former communist states of Central and Eastern Europe, as well as Cyprus and Malta , the Copenhagen criteria for candidate members to join the EU were agreed upon in June 1993. The expansion of the EU introduced a new level of complexity and discord. In 1995, Austria, Finland, and Sweden joined the EU. In 2002, euro banknotes and coins replaced national currencies in 12 of

16758-487: The union for foreign affairs and security policy (presently Josep Borrell ) also takes part in its meetings. Described by some as the union's "supreme political leadership", it is actively involved in the negotiation of treaty changes and defines the EU's policy agenda and strategies. Its leadership role involves solving disputes between member states and the institutions, and to resolving any political crises or disagreements over controversial issues and policies. It acts as

16891-400: The withdrawal of the United Kingdom from the European Union, the European Investment Bank's board of governors decided that the remaining Member States would proportionally increase their capital subscriptions to maintain the same level of overall subscribed capital (EUR 243.3 billion). As of March 2020, the subscribed capital of the EIB has increased by an additional EUR 5.5 billion, following

17024-539: The world, including the European Commission and European External Action Service , the United Nations (e.g. Sustainable Energy for All ) or the International Fund for Agricultural Development . The European Investment Bank is a not for profit organisation. While it is a European Union body, none of the European Investment Bank's funds come from the European Union budget, the bank is financially autonomous. It has its own resources and money raised through

17157-418: The world. The EIB focuses on long-term investment and is triple-A rated by Moody's , Standard and Poor's , and Fitch . This allows the Bank to borrow money at lower rates to then lend it at lower rates to projects inside and outside Europe that foster EU policy objectives. In addition to benchmark bonds, public bonds, and private placements that vary in terms of size, currencies, maturities, and structures,

17290-532: Was approved in June 2020 to support the company's vaccine trials and manufacturing. BioNTech's COVID-19 vaccine was approved for use by the UK drug regulators in December 2020. The EIB Group, is one of the world's main financiers of climate action. The EIB plans to invest 1 trillion euros in climate-related projects by 2030 including a just transition . As the EU's climate Bank, the European Investment Bank Group committed in November 2019 to align its activities with

17423-476: Was established, along with its citizenship , when the Maastricht Treaty came into force in 1993, and was incorporated as an international legal juridical person upon entry into force of the Treaty of Lisbon in 2009 . Its beginnings can be traced to the Inner Six states (Belgium, France, Italy, Luxembourg, the Netherlands, and West Germany ) at the start of modern European integration in 1948, and to

17556-474: Was spent on transport , building and the environment, €16bn on education and research , €13bn on welfare, €20bn on foreign and defence policy, €2bn in finance , €2bn in energy , €1.5bn in communications, and €13bn in administration. In November 2020, two members of the union, Hungary and Poland, blocked approval to the EU's budget at a meeting in the Committee of Permanent Representatives (Coreper), citing

17689-475: Was the signing of the Treaty of Dunkirk between France and the United Kingdom . The treaty assured mutual assistance in the event of future military aggression against either nation. Though it officially named Germany as a threat, in reality the actual concern was for the Soviet Union. A few days later came the announcement of the Truman Doctrine which pledged American support for democracies to counter

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