2008/580/EC: Council Decision of 23 June 2008 granting a Community guarantee to the European Investment Bank against losses under loans for projects outside the Community (South-eastern neighbours, Mediterranean countries, Latin America and Asia and the Republic of South Africa) (Codified version)

• Articles: 7

Article 1

1.   The Community shall grant the European Investment Bank (EIB) a global guarantee in respect of all payments not received by it but due in respect of credits opened, in accordance with its usual criteria, and in support of the Community’s relevant external policy objectives, for investment projects carried out in the South-eastern neighbours, the Mediterranean countries, Latin America and Asia and the Republic of South Africa.

This guarantee shall be restricted to 65 % of the aggregate amount of the credits opened, plus all related sums. The overall ceiling of the credits opened shall be equivalent to EUR 19 460 million, broken down as follows:

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south-eastern neighbours:

EUR 9 185 million,

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Mediterranean countries:

EUR 6 520 million,

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Latin America and Asia:

EUR 2 480 million,

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Republic of South Africa:

EUR 825 million,

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special action supporting the consolidation and intensification of the EC-Turkey Customs Union:

EUR 450 million;

and may be used by 31 January 2007 at the latest. The credits already signed shall be taken into account as a deduction from the regional ceilings.

The Commission shall report on the application of this Decision at the latest six months before any new accession treaties enter into force, and make proposals for amendments of this Decision if appropriate. The Council will discuss and act on any proposal with effect from the date of entry into force of any new accession treaty.

If, on expiry of the guaranteed lending period on 31 January 2007, the loans granted by the EIB have not attained the overall amounts referred to in the second subparagraph, this period shall be automatically extended by six months.

2.   The countries covered by paragraph 1 are:

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South-eastern neighbours: Albania, Bosnia and Herzegovina, Croatia, former Yugoslav Republic of Macedonia, Serbia, Montenegro and Turkey,

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Mediterranean countries: Algeria, Egypt, Israel, Jordan, Lebanon, Morocco, Syria, Tunisia and Gaza-West Bank,

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Latin America: Argentina, Bolivia, Brazil, Chile, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, Uruguay and Venezuela,

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Asia: Bangladesh, Brunei, China, India, Indonesia, Laos, Macao, Malaysia, the Maldives, Mongolia, Nepal, Pakistan, Philippines, Singapore, South Korea, Sri Lanka, Thailand, Vietnam and Yemen,

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Republic of South Africa.

3.   The EIB is invited to aim to cover the commercial risk on 30 % of its lending under this Decision from non-sovereign guarantees as far as possible on an individual regional mandate basis. This percentage shall be expanded upon whenever possible in so far as the market permits.

Article 2

The Commission shall inform the European Parliament and the Council each year of the loan operations and progress made on risk-sharing under Article 1(3) and shall, at the same time, submit an assessment of the operation of the scheme and of coordination between the financial institutions operating in that area. The Commission information submitted to the European Parliament and the Council shall include an assessment of the contribution of the lending under this Decision to the fulfilment of the Community’s relevant external policy objectives, taking into account the operational objectives and appropriate measurements of their fulfilment to be established by the EIB for lending under this Decision.

For the purposes referred to in the first paragraph, the EIB shall transmit to the Commission the appropriate information.

Article 3

The EIB and the Commission shall fix the terms on which the guarantee is to be given.

Article 4

Decision 2000/24/EC, as amended by the Decisions listed in Annex I, is repealed.

References to the repealed Decision shall be construed as references to this Decision and shall be read in accordance with the correlation table in Annex II.

Article 5

This Decision shall take effect on the 20th day following its publication in the Official Journal of the European Union .

Schedules & Appendices

ANNEX I

ANNEX I

Repealed Decision with its successive amendments

Council Decision 2000/24/EC

( OJ L 9, 13.1.2000, p. 24 )

Council Decision 2000/688/EC

( OJ L 285, 10.11.2000, p. 20 )

Council Decision 2000/788/EC

( OJ L 314, 14.12.2000, p. 27 )

Council Decision 2001/778/EC

( OJ L 292, 9.11.2001, p. 43 )

Council Decision 2005/47/EC

( OJ L 21, 25.1.2005, p. 9 )

Council Decision 2006/174/EC

( OJ L 62, 3.3.2006, p. 26 )

ANNEX II

ANNEX II

Correlation table

Decision 2000/24/EC

This Decision

Article 1

Article 1

Article 2, first and second paragraphs

Article 2, first and second paragraphs

Article 2, third paragraph

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Article 3

Article 3

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Article 4

Article 4

Article 5

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Annex I

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Annex II