Article 1
The Commission shall be empowered to contract loans on behalf of the European Economic Community under the new Community instrument which shall not exceed the equivalent of 3 000 000 000 ECU in principal. The proceeds of these loans shall be lent to finance investment projects which contribute to greater convergence and integration of the economic policies and of the Member States and, through the dissemination of new technology and innovation or by other means, to reinforcing the competitiveness of the Community economy. These projects shall be such that they serve the Community's priority objectives in the energy and infrastructure sectors, and in the financing of investment principally in small and medium-sized undertakings, in industry and in other productive sectors, taking account inter alia of their regional impact and the need to combat unemployment. This mechanism may be used on its own or in conjunction with other Community financing instruments.