European Investment Bank


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European Investment Bank,

nonprofit bank created in 1958 by the six founding countries of the European Economic Community (now part of the European UnionEuropean Union
(EU), name given since the ratification (Nov., 1993) of the Treaty of European Union, or Maastricht Treaty, to the European Community (EC), an economic and political confederation of European nations, and other organizations (with the same member nations)
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 [EU]). The bank makes or guarantees loans to EU members, principally for projects that will contribute to regional development within the union. Some loans are also made to nonmembers, including countries of the Mediterranean region and central and E Europe and, under the Lomé Convention and Cotonou Agreement, developing countries in Africa, the Caribbean, and the Pacific.
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The following article is from The Great Soviet Encyclopedia (1979). It might be outdated or ideologically biased.

European Investment Bank

 

the investment bank of the six member countries of the Common Market (France, the Federal Republic of Germany, Italy, Belgium, the Netherlands, and Luxembourg). It was established in 1958 in conjunction with the Treaty of Rome (1957), which created the Common Market. The bank is headed by a council of directors, consisting of the finance ministers of the member countries. The bank’s headquarters is located in Brussels. Authorized and issued share capital is $1 billion; paid-in capital amounts to $250 million (including 25 percent in gold and 75 percent in national currencies), and the remaining $750 million serves as a fund guaranteeing loans granted by the bank. Since May 1971 authorized capital has been increased to $1.5 billion, and paid-in capital to $300 million.

France and West Germany have each subscribed for $450 million, Italy for $360 million, Belgium for $130 million, the Netherlands for $107 million, and Luxembourg for $3 million. The bank issues bonds. By early 1971, bonds totaling $1,020 million were issued, of which two-thirds were distributed in countries of the Common Market and one-third in the USA. The bank grants loans at a 7.5 percent annual interest rate to state and private enterprises of the Six, as well as to Greece and to the African states that are members of Eurafrica. The bank received the right to invest in the African states as of 1963. Credits granted by the bank as of Jan. 1, 1971, totaled $1,393 million. Moreover, the bank participated in investment projects totaling $4.5 billion. Credits issued amounted to $1,060 million. Of the credits granted, 91 percent are for the Six (Italy, 57 percent; France, 19 percent; West Germany, 9 percent; and Benelux, 6 percent), 5 percent are for Greece, and only 4 percent for developing countries, mostly African. The majority of credits are awarded for the creation and improvement of infrastructures (construction of railroads, highways, wharves, and communications enterprises) and for the development of agriculture.

M. LU. BORTNIK

The Great Soviet Encyclopedia, 3rd Edition (1970-1979). © 2010 The Gale Group, Inc. All rights reserved.
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The European Investment Bank is the world's largest international public bank, owned directly by the 28 European Union member states and the largest lender for renewable energy investment worldwide.
"Increased access to sanitation to be achieved by this project will improve the lives of thousands of people living in Colombo and contribute to achievement of sustainable development goals in Sri Lanka," European Investment Bank stated in its press release.
The European Investment Bank loan will also finance a grinding mill, access roads, railway track and housing facilities for the workforce.
Contact Details: European Investment Bank 98-100, boulevard Konrad Adenauer L-2950 Luxembourg Phone: +352 437922000 Fax: +352 437962000 Email: info@eib.org
The European Investment Bank (EIB) signed three loan agreements with the Treasury Undersecretariat of Turkey, the Industrial Development Bank of Turkey (TSKB), the Development Bank of Turkey (TKB), Vakifbank and Halkbank.
Of that pounds 2.3 billion, pounds 1.3 billion is being allocated through the European Investment Bank - and JLR is awaiting clearance for its loan application of 300 million euros.
The European Investment Bank loans will partially finance a EUR 1.1 billion project to maintain the Netherlands' position as one of Europe's major gas hubs through the laying of 300 km of new pipelines and associated infrastructure.
Global Banking News-February 1, 2018--Kenya's I&M Bank receives European Investment Bank funding
European Investment Bank (EIB) Vice President Pim van Ballekom will visit Kenya to mark the 10 year anniversary of local operations of the world's largest international public bank and to announce the EIB's largest ever support for small business investment in East Africa.
M2 EQUITYBITES-July 14, 2015-Planon signs agreement for EUR12m loan from European Investment Bank

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