the EU bank

Albania, Serbia, Montenegro, Kosovo under United Nations Security Council Resolution 1244, the former Yugoslav Republic of Macedonia and Bosnia Herzegovina.

The European Investment Bank has been active in the countries of South Eastern Europe for several years and is progressively increasing its long-term lending in the region.

EIB financing helps these countries to:

• Contribute to facilitating the integration process with the EU
• Helps these countries to meet EU accession criteria and harmonise with the economic developments of the EU
• Foster the European perspective that has been instrumental in providing incentive for political and economic reform and encouraging social reconciliation in the region. 

Key Figures

• In 2008 the EIB concluded in the Western Balkan countries loan contracts reaching an annual record level of EUR 577m bringing total EIB lending in the region to some EUR 3.1bn since 1995. This represents a substantial increase compared to EIB lending of EUR 443m in the region in 2007.

Sectoral Activity

When the Bank started operations in the Western Balkans in 1999 within the framework of the Stability Pact, EIB activity in the Western Balkans has been centred:

• On the upgrading of the infrastructure networks, with emphasis on fostering regional integration and removing bottlenecks in the road, rail and energy systems.
• On supporting projects that help to deepen the integration of the region with the European Union in terms of meeting the EU accession criteria and upgrading the infrastructure in order to better involve the individual countries in the European cooperation.

Cooperation with other institutions

The EIB co-finances major projects in the region with other International Financial Institutions, particularly the European Bank for Reconstruction and Development (EBRD), the World Bank and the Council of Europe Development Bank, as well as with bilateral donors.

The EIB also continues its close cooperation with the European Commission and the European Agency for Reconstruction in order to prepare and co-finance projects with EU budgetary contribution provided by the new EU Instrument for Pre-Accession Assistance (IPA).

Outlook

While continuing its support for reconstruction and upgrading of the regional and municipal networks of basic infrastructure (transport, energy and the environment), the EIB plans to increase its assistance to the private sector and lend more in the health and education sectors in the coming years.