The European Fund for Strategic Investments (EFSI) has mobilised €335 billion in additional investment across the EU since July 2015. The Juncker Plan has made a clear impact on the EU economy and revolutionised the way innovation is financed in Europe.
The European Commission and the European Investment Bank (EIB) Group have delivered on their pledge to mobilise €315 billion in additional investment under the Investment Plan for Europe, the Juncker Plan.
Backed by a budget guarantee from the European Union and own resources from the EIB Group, 898 operations have been approved, which are expected to trigger €335 billion in investment across the 28 EU Member States. This is more than the original goal of €315 billion set in 2015 when EFSI was launched, helping to close the investment gap left as a result of the financial and economic crisis. 700,000 small and medium-sized companies are set to benefit from improved access to finance. Given the EFSI’s success, the European Council and the European Parliament agreed last year to extend its duration and capacity to €500 billion by end-2020.
President Jean-Claude Juncker said: “The Juncker Plan has proven to be a success. We surpassed the original €315 billion investment target and the European Fund for Strategic Investments is set to create 1.4 million jobs and increase EU GDP by 1.3% by 2020.
We have financed projects which without the EFSI would not have been possible, and all without creating new debt: two thirds of the investment comes from the private sector. From financing job-training for refugees in Finland to renewable energy in Greece to farming in Bulgaria – we will continue to use the EU budget for what it does best: to catalyse growth.”
Commission Vice-President Jyrki Katainen, responsible for Jobs, Growth, Investment and Competitiveness, said: “Today’s milestone proves the EU is a front runner in using private money for the public good. By adopting a market-driven approach and making strategic use of the EU budget, we have supported hundreds of innovative investment projects and helped thousands of small businesses to scale up.”
“As a result, we have improved Europe’s competitiveness and already supported at least 750,000 jobs across the EU. Thanks to the Investment Plan and to the efforts Member States have implemented in national structural reforms, the investment outlook in Europe is bright.”
European Investment Bank Group President Werner Hoyer said: “I like to call the EIB the good news institution, but even by our standards today’s achievement makes me especially proud. We did what many three years ago said was impossible.
Triggering €315 billion in new, additional investment – most of it from the private sector – was never going to be an easy task. We demonstrated that it can be done thanks to the excellent cooperation between the EIB and the European Commission; the help and support of Council and European Parliament; and to the EU Bank’s experience, versatility, and dedication. The last three years have transformed the way Europe finances its priorities. We now have the key to making scarce public resources achieve more for Europe’s economy and for its citizens by crowding in private investment.
Many people now consider the Juncker Plan model a winner and there is no going back from it.”