EIB trusts partners to replace British capital after "Brexit"



The president of the European Investment Bank (EIB), Werner Hoyer, has been confident today that European countries replace the capital of the United Kingdom in the bank after leaving the European Union (EU) or "brexit".

In a meeting with media, Hoyer has insisted that the bank does not want to lose size as a result of the departure of the United Kingdom, a country that adds 39,000 million euros between contributions and capital required.

The United Kingdom will recover its 3,500 million in contributions over the years, while the rest, the required capital, will be replaced initially by British guarantees until the portfolio of projects expires.

However, in order for the size of the EIB not to be reduced, this required capital would have to be subscribed by the rest of the European partners, who are its shareholders, an issue that depends on each country and is still being debated.

In that sense, Spain already agreed last September the subscription of up to 4,517 million euros, charged to the reserves of the bank itself, as part of the restructuring of the organization before the "Brexit".

Hoyer added that some countries have offered to add contributions because they want to increase their participation in the bank, so that potential injections of capital could be asymmetric.

The president of the EIB has acknowledged that the bank's business profile is changing, as it now also finances small projects, which requires more resources, and also has to face the challenge of markets such as digitization or artificial intelligence.

In addition, the EIB has taken on new objectives over the years, such as climate change, innovation or research and development, not only in the EU but also with projects outside it.

Hoyer has advocated invigorating specialized bonds to finance projects, as is already the case with "green bonds" for environmental initiatives, and has targeted water, health or education.

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