Two years after it was announced, the Juncker Plan is likely to trigger 225 billion EUR of investment in the 28 countries of the European Union (EU). The European Commission recalls that the initial plans were to inject 315 billion EUR to develop the community’s economy by 2019.
Until now, the operations that are approved by the basic mechanism under the Junker Plan – the European Investment Fund (EFSI), amount to 43 billion EUR. The European Investment Bank (EIB) approved 276 projects with EFSI funding of 33.7 billion EUR.
For its part, the European Investment Fund (EIF) has approved credit lines for 10 billion EUR, which are also funded under the Plan. It is expected that nearly 445,000 small and medium-sized enterprises will benefit from the facilitated funding conditions from this fund.
“Separately, money from EFSI had received broadband internet projects in Greece (150 million EUR), as well as the construction of 2,000 social homes in Barcelona (125 million EUR) and others”, the EC said.
The Juncker Plan was presented by EC President Jean-Claude Juncker just a few weeks after his appointment in the autumn of 2014. The European Investment Bank (EIB) is a strategic partner of the European institutions for the implementation of the Plan’s projects.
The investment plan for Europe, which is the official name of the scheme, consists of three pillars. The foundation is EFSI, which provides an EU guarantee to mobilize private investment. Second is the European Investment Advisory Center and the European Portal for Investment Projects that help projects to reach the real economy by providing technical assistance and promoting investment opportunities. The third pillar is the removal of regulatory barriers to investment, both at national and EU level.
The goal, within Jean-Claude Juncker’s mandate, is to harness 315 billion EUR for the development of the European economy.