African Caribbean and Pacific Countries (ACPs) Overseas Countries and Territories (OCTs)
The monetary amounts devoted to funding in the ACPs and OCTs are set by the successive financial protocols of the Cotonou Agreement.
Project financing by the Bank is provided through:
- the Investment Facility which is funded by the European Development Fund (EDF) i.e. the EU Member States' budget, alongside
- the EIB's own resources.
The Investment Facility (IF) was established under the Cotonou Agreement and Overseas Association Decision for project financing in the 77 countries which make up the ACP group and the 20 OCTs. It is managed- under mandate-by the European Investment Bank and is funded from the resources of the EU Member States.
The IF is a revolving fund i.e. loan amortizations are reinvested in new operations, which makes it a financially sustainable facility. It provides financial instruments that allow it to support higher-risk operations.
The Facility supports projects promoting the development of the private sector and commercially-run public enterprises. Investments in the infrastructure sector and the financial sector are a priority.
The Investment Facility contributes to add further value to operations financed by the EIB through the provision of grants for financing interest rate subsidies as well as, to a certain extent, project-related technical assistance.
The Cotonou Agreement foresees a Mid-Term Evaluation (MTE) of the Investment Facility and EIB own resources operations in ACP countries and OCTs. This evaluation was carried out by external consultants and began in October 2009. A Reference Group including representatives of the EC, the EIB, the IF Committee and the ACP Secretariat supervised the work carried out by the consultants and endorsed its final results on 1 October 2010. The full report highlighting the key lessons learnt and recommendations for the way forward is now available.
The Cotonou Partnership Agreement and Overseas Association Decision