The EU Investment Plan and ESI funds S TRUCTURED D IALOGUE WITH ESIF PARTNERS GROUP OF EXPERTS B RUSSELS, 23 A PRIL 2015

I. The Investment Plan for Europe II. ESIF and the Investment Plan

I.The Investment Plan for Europe

 Strong boost to strategic investments  Better access to investment finance for SMEs and mid-cap companies  Strategic use of EU budget  Better use of the European Structural and Investment Funds MOBILISING FINANCE FOR INVESTMENT  Project pipeline preparation and selection  Technical assistance at all levels  Strong cooperation between National Promotional Banks and the EIB  Follow-up at global, EU, national and regional level, including outreach activities MAKING FINANCE REACH THE REAL ECONOMY  Predictability and quality of regulation  Quality of national expenditure, tax systems and public administration  New sources of long-term financing for the economy  Removing non-financial, regulatory barriers in key sectors within our Single Market IMPROVED INVESTMENT ENVIRONMENT THE EU INVESTMENT TRIANGLE 4

EU guarantee EUR 16 bn * EU guarantee EUR 16 bn * EUR 16 bn x 15 Long-term investments circa EUR 240 bn SMEs and mid-cap firms circa EUR 75 bn EUR 5 bn European Fund for Strategic Investments EUR 21 bn Total extra over : circa EUR 315 bn** EUR 5 bn Possible other public and private contributions * 50% guarantee = EUR 8 bn from Connecting Europe Facility (3.3), Horizon 2020 (2.7) and budget margin (2) ** Net of the initial EU contributions used as guarantee: EUR 307 bn 5

Mobilising finance for investment – leverage EUR 75 bn EUR 240 bn EUR 20 bn (at least) EUR 315 bn Strategic investments of European significance in energy, transport, broadband, education, research and innovation Priorities at national and regional level (e.g. SMEs, research, transport, environment) SMEs and mid-cap companies Impact of Member States' contributions to the Fund Positive impact on investment throughout the economy Will depend on commitment Over three years Improved investment environment at EU and national level European Fund for Strategic Investments: EUR 21 bn (initially) Better use of the European Structural and Investment Funds Possible Member States' contributions to the Fund 6 'overall doubling' > EUR 20bn

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II.ESIF and the Investment Plan for Europe

Investment Plan for Europe 1. Mobilise finance for investment 2. Make finance reach the real economy 3. Improve investment environment European Fund for Strategic Investment (EFSI) Better use of ESI Funds i.a. extensive use of Financial Instruments Better use of ESI Funds i.a. extensive use of Financial Instruments ≥ EUR 20bn additional investment for SMEs Research Transport Environment ≥ EUR 20bn additional investment for SMEs Research Transport Environment 2. Make finance reach the real economy 3. Improve investment environment Technical Assistance Ex-ante Conditionalities JASPERS FI-Compass JASPERS FI-Compass ≥ EUR 315bn Long-term investments SMEs and mod-cap firms ≥ EUR 315bn Long-term investments SMEs and mod-cap firms 9

Through loans, guarantees, equity, venture capital, etc What's New? Regulation: FI extended to ALL thematic objectives and all ESIF funds Additional support: FI Compass –advisory service, 'off-the shelf' instruments, guidance documentation What's New? Regulation: FI extended to ALL thematic objectives and all ESIF funds Additional support: FI Compass –advisory service, 'off-the shelf' instruments, guidance documentation Leverage Effect Financial Instruments (FI) Resource-efficient way of using EU budget funds to enable investment in the economy TARGETS At least an overall doubling of the use of FI (EUR 12bn to ± 30bn) Initial EU Investment Total Investment Target Total Investment

Doubling of financial instruments Financial instruments are particularly effective to increase the impact of ESIF An overall doubling of the use of financial instruments in relative to (increase from EUR 12 billion to close to EUR 30 billion) is an ambitious but realistic target This extra EUR 18 billion could leverage additional investments between EUR 40-70bn (of which at least EUR 20bn in first three years) 11

How is this target achievable? % to deliver through financial instruments: 5% Research, Development and Innovation 10% ICT 50% SME support 20% low carbon economy 5% environment and resource efficiency 10% sustainable transport 12

Why is this target achievable? Legal framework for is open to all thematic objectives and widens implementation options SME Initiative is up and running: ES signature on 26th January "Off-the-shelf instruments": ready-to-use and state aid cleared templates for financial instruments Fi-compass: knowledge hub for guidance and advice on financial instruments 13

Thank you for your attention!