Overview of FEMIP 2005 achievements

European Investment Bank

Description

Economy - Finance
Mediterranean countries
Target audience: Specialised/Technical

Informations

• Publié par: EUROPEAN-INVESTMENT-BANK
• Nombre de lectures: 19
• Langue: English

Extrait

FEMIP : Financing in Algeria, Egypt, Gaza/West Bank, Israel, Jordan, Lebanon, Morocco, Syria, Tunisia and Turkey

 F a c i l i t yf o rE u r o - M e d i t e r r a n e a nI n v e s t m e n ta n dPa r t n e r s h i p• Fa c i l i t yf o rE u r o - M e d i t e r r a n e a nI n v e s tm e n ta n dP a r t n e r s h i p

FEMIP Overview of2005 Achievements

An overview of the Facility for Euro-Mediterranean Investment and Partnership (FEMIP) activities in 2005 shows that remarkable results were obtained with a total volume of signatures amounting toEUR 1 2.2 bn,for 23 new operations in Mediterranean Partner Countries slightly over the already significant figure realised in 2004.

Following completion of the 2005 activities, the total volume of projects signed by FEMIP since its inception in 2002 rose to EUR 7.2 bn for 77 operations supporting the modernisation of econo- mies, the establishement of a propitious climate for investment, the development of the private sector, and the creation of job op- portunities.

Throughout this second full operational year since the reinforce- ment of FEMIP decided by the European Council in December 2003, lending activities and special “reinforced FEMIP” operations reached assigned targets, as ongoing economic and financial dia- logue was further strengthened between European countries and Mediterranean partners.

Consolidation of FEMIP operational activities

Lending and Risk Capital Activities

The FEMIP department has managed to bolster new commitments in favour of theprivate sectorin the Mediterranean region, with more thanhalf of total projects signedaimed at supporting SMEs and foreign direct investment. More specically, lending to private sector projects represented 51% of total volumes signed in the year and around 60% of the number of projects signed in the region (14 private sector projects out of a total of 23).

A crucial and additional 2% of operations directly targeted the private sector in the form of equity and quasi-equity; undertaken most often through dedicated private funds, those operations rose 2 to EUR 45 m, more than doubling last year’s amounts .

Lending Breakdown by Countries (in EUR million)

2005: EUR 2 194 million

Lebanon (170)

Morocco (160)

Egypt (309)

Gaza/West BankAlgeria (55) (10) Tunisia (260)

Syria (300)

Turkey (930)

1 Algeria,Egypt, Gaza/West Bank, Israel, Jordan, Lebanon, Morocco, Syria, Tunisia and Turkey. 2 Thisdoes not take into account signatures occurring under Global Authorizations, which in accordance with customary Bank practice are not computed as “new” signatures. Such signa- tures amounted in 2005 to a total of approx. EUR 15 m, bringing de facto total new risk capital operations signed in 2005 to EUR 60 m.