scholarly journals Restrictive or expansive? European Investment Bank's challenge to equipoise climate finance with post-pandemic boost

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Helen Kavvadia
Keyword(s):  
Stakeholder Management ◽  
Analytical Framework ◽  
Climate Finance ◽  
Economic Governance ◽  
Real Economy ◽  
Investment Bank ◽  
Dual Nature ◽  
Content Type ◽  
Economic Landscape ◽  
European Investment

PurposeUnique among European Union (EU) economic governance entities and multilateral banks, the European Investment Bank (EIB) possesses a dual nature, as an EU body and a bank. The EIB has been ever evolving to adapt to policy and market developments and to reflect the geo-economic landscape. In 2019, in association with the EU's Green Deal, the bank announced its metamorphosis into a “Climate Bank,” ending its fossil fuel lending after 2021. Additionaly, upon the outbreak of coronavirus disease 2019 (COVID-19) and its attendant health and economy crisis, EU decision-makers have solicited the bank to support both urgent needs for tackling and countering the spread of the disease and the post-pandemic economic recovery. Nevertheless, devastated economic actors in need of assistance fall within many sectors, including some less green ones.Design/methodology/approachThis article is grounded on agency theory for developing a generic stakeholder framework, which is then subsequently applied in investigating the EIB, in interaction with its main stakeholders.FindingsThis article investigates the EIB stakeholders in pursuing these two seemingly contradictory objectives of exclusively restricting its activity to green funding and expanding its action for achieving a broad impact in the real economy. By exploring this tension, the article argues that by prioritizing the post-COVID restart, the EIB risks to deviate from its strict green commitment.Practical implicationsThe analysis of the EIB's divergent stakeholder stances demonstrates some ambivalence in future EIB activity in an effort to equipoise climate finance with a post-pandemic boost. The same ambivalence might equally occur with other major economic governance actors. The stakeholder framework developed and applied in the case of the EIB can be useful for studying also the stakeholder dynamics of other organizations.Social implicationsThe analysis demonstrates a tension between selective climate-related funding for “building back better” and the need for a wide broaching of countercyclical stimulus, with implications for economic and social actors alike.Originality/valueThe approach is novel, as it develops a new analytical framework for understanding stakeholder dynamics and tests it empirically on the EIB. This constitutes the first study of EIB stakeholder management.

EU infrastructure plan could reinforce ECB policy

2015 ◽  
Keyword(s):  
Euro Area ◽  
Global Financial Crisis ◽  
Positive Impact ◽  
Fund Raising ◽  
Investment Bank ◽  
Content Type ◽  
Growth Prospects ◽  
Commission President ◽  
The Global Financial Crisis ◽  
European Investment

Subject Outlook for infrastructure spending. Significance European Commission President Jean-Claude Juncker proposed a 315 billion euro (340 billion dollar) infrastructure initiative to revive the EU economy, expected to reinforce ongoing monetary policy efforts to boost growth. Fund raising is progressing through the European Investment Bank (EIB). The programme can benefit both short-term and long-term growth prospects, while its actual impact will depend on the projects implemented, as politically motivated choices can delay, distort and depress the benefits. This plan comes late, six years after the global financial crisis; one of its priorities is generating rapid results to boost the economic recovery. Impacts To have a net positive impact, any infrastructure proposal would have to avoid drawing funds away from existing investment plans. The plan could help reducing disparities between labour markets in different euro-area countries. Persistently high euro-area unemployment will need a domestic demand revival to boost sentiment, growth and job creation.

All sides set conditions for Greek debt breakthrough

2017 ◽  
Keyword(s):  
Developing Countries ◽  
Debt Relief ◽  
Investment Bank ◽  
Content Type ◽  
The Third ◽  
Finance Minister ◽  
Private Investors ◽  
European Investment ◽  
First World ◽  
The Imf

Significance The IMF insists that Greece’s debt must be made sustainable before it will again participate in programme financing. Yet IMF participation is required if the bailout plan is to proceed, German Finance Minister Wolfgang Schaeuble says; the Fund and the euro-area remain at odds over debt relief. Greece will need the next loan tranche by June to make debt repayments in July to private investors, the ECB, IMF and European Investment Bank. Impacts Germany, which faces federal elections this September, will accept no further debt relief until after the third bailout has concluded. The IMF is under pressure from developing countries to end its involvement in financing a first world EU member state. The package being finalised will probably not encounter any serious resistance from within the ruling Syriza party.

Sluggish Emerging Europe credit growth is due to NPLs

2015 ◽  
Keyword(s):  
Interest Rates ◽  
Eastern Europe ◽  
Investment Bank ◽  
Credit Growth ◽  
Content Type ◽  
Central Eastern Europe ◽  
South Eastern ◽  
Low Interest Rates ◽  
South Eastern Europe ◽  
European Investment

Subject An NPL overhang will crimp credit growth in Emerging Europe. Significance The European Investment Bank (EIB) has revealed that, while demand for loans across Central and South-eastern Europe (CESEE) improved in the second half of this year, the supply of credit remains constrained by the stringent regulatory environment for European banks, relatively weak economic recoveries and, crucially, persistently high levels of non-performing loans (NPLs), particularly in South-eastern Europe (SEE). There is still significant deleveraging by Western parent banks across the region, with international lenders reassessing their country strategies and taking a more discerning approach towards Central-Eastern Europe (CEE). Impacts Extremely high foreign ownership in CEE banking is now perceived much less favourably thanks to cross-border deleveraging by parent banks. Ultra-low interest rates due to ECB monetary stimulus will further erode CEE banks' profitability as lending and asset growth slows sharply. Financial markets' relative resilience, especially in CEE currencies, is helping ease the strain on banks ahead of higher US interest rates. Poland and the Czech Republic remain the most profitable markets, with relatively strong demand for credit. By contrast, Hungary and Romania are now perceived as 'turn-around markets'.

scholarly journals Climate finance activities of the multilateral development banks, emphasizing the role of the European Investment Bank in this regard

2021 ◽  
Vol 11 (5) ◽  
pp. 294-306
Author(s):  
Zoltán Eperjesi
Keyword(s):  
European Union ◽  
Global Market ◽  
Regional Disparities ◽  
Climate Finance ◽  
The European Union ◽  
Investment Bank ◽  
Multilateral Development Banks ◽  
European Investment Bank ◽  
Development Banks ◽  
European Investment

Regional disparities have always been present in the history of the European Union that has become more and more significant and intense on the occasion of the continuous enlargements of the integration. The European Investment Bank (EIB) as a policy driven development bank of the European Union plays a crucial role in reducing these regional disparities and fostering the social and territorial cohesion of the union by providing funds at favourable terms. The EIB, on the path of considerable metamorphosis, is being transformed to a so called climate or green bank, having simultaneously two task to fulfil, namely to strengthen the European Union’s position on the multi-polar global market and secure a just transition for those regions that are mostly hit by the measures taken for a climate-friendly and environmentally sustainable economy. All of the multilateral development banks following the parity and disparity models place great emphasis upon climate finance to contribute to sustainable economic growth, increasing employment and a heathy planet. The research covers the period of time between 2015 and 2025.

scholarly journals Analysis of the Regional Efficiency of European Funds in Spain from the Perspective of Renewable Energy Production: The Regional Dimension

2021 ◽  
Vol 18 (9) ◽  
pp. 4553
Author(s):  
Paul Mugambi ◽  
Miguel Blanco ◽  
Daniel Ogachi ◽  
Marcos Ferasso ◽  
Lydia Bares
Keyword(s):  
Smart Growth ◽  
Renewable Energies ◽  
Growth Strategy ◽  
Sustainable Growth ◽  
Data Envelopment ◽  
The European Union ◽  
Investment Bank ◽  
Structural Funds ◽  
Spanish Regions ◽  
European Investment

During the 2010–2020 period, the European Union (EU) launched a growth strategy based on three fundamental pillars: smart growth, sustainable growth, and inclusive growth. Aiming to finance the projects related to these growth pillars, the EU used mainly the Rural Development Funds, the Structural Funds, those derived from the R&D Framework Program, the Trans-European Networks, and the European Investment Bank. This research aimed to determine whether the Spanish regions maintain homogeneous efficiency levels by using these resources to improve the levels of environmental quality related to renewable energies. A methodology that is frequently used by researchers in efficiency analyses was chosen, the Data Envelopment Analysis (DEA). The main findings revealed that the efficiency in the use of renewable energies is very uneven among the Spanish regions and these differences are maintained throughout the period analyzed. These results highlighted the need of changes regarding the proposed criteria for allocating European resources to finance the projects presented by each Spanish region.

The distributive knot: negotiators’ responsibility to untie complex demands

2017 ◽  
Vol 32 (4) ◽  
pp. 535-540 ◽  
Author(s):  
Alain Lempereur ◽  
Michele Pekar
Keyword(s):  
Demand Response ◽  
Automotive Industry ◽  
Design Methodology ◽  
Analytical Framework ◽  
Content Type ◽  
Business System ◽  
Response Dynamic ◽  
Managerial System ◽  
Deal Making ◽  
Different Levels

Purpose This article aims to explore the fundamental negotiation structure as a demand/response dynamic. It tests it in a complex business system, where a manager as a negotiator is confronted with multiple demands or pressures at different levels from a variety of stakeholders, both external and internal. Design/methodology/approach Based on concrete examples from the automotive industry, it presents an analytical framework to tackle all negotiation interactions. Findings This article suggests that it is possible to describe all negotiation interactions, whether they are simple or complex, through a demand/response framework. Originality/value This contribution examines a fundamental structure for negotiation responsibility – the demand/response dynamic – defining the mission of any negotiator in deal-making or dispute resolution as to try to supply a response to the expressed crossed demands. Second, the proposed theoretical model of demand/response is transposed and tested in a managerial system where a sales negotiator is confronted with demands from more sources, both external and internal, with the responsibility to satisfy as best as possible the various stakeholders and the capacity to address each of them with different moves.

Exploring climate finance for tourism adaptation development: an overview

2016 ◽  
Vol 8 (5) ◽  
pp. 593-605 ◽  
Author(s):  
Daniele Vieira do Nascimento
Keyword(s):  
Climate Change ◽  
Literature Review ◽  
English Language ◽  
Small Island ◽  
Future Research ◽  
Climate Finance ◽  
Content Type ◽  
Main Research ◽  
Research Fields ◽  
New Research

Purpose The purpose of this paper is to provide an overview of the links between climate finance and tourism adaptation development. Besides increasing adaptation and mitigation efforts to limit greenhouse gas emissions, climate change remains a major challenge in the twenty-first century and beyond especially for tourism which is highly climate sensitive. Hence, it is necessary for tourism to adapt to survive. The aim of the study is to provide a systematic overview of the topic to offer a foundation for better understanding different ways of integrating climate finance initiatives with tourism. Design/methodology/approach The research focused on the top-ranked, peer reviewed journals of each of the two selected research fields. To address this topic, an in-depth systematic literature review in the fields of climate change finance and tourism adaptation development was conducted. Furthermore, because it is a relatively new research topic, conference proceedings were also explored. To guarantee wide coverage of the literature, a query of the following scholarly databases was considered: Elsevier, ScienceDirect and Web of Science. Findings Based on the analyses of the literature available on the topic, the paper highlights the main research trends and conclusions. It is argued that there is imbalance of knowledge on climate change finance as it relates to tourism. To date, there have been relatively few published articles on this topic in the context of tourism. Based on the findings, promising areas for future research were identified, and in particular for small island communities and recommendations for future research are outlined. Research limitations/implications The paper is limited by the scope of the literature review accessed by the researcher. The results of this review may vary according to the databases used. Originality/value Currently, there is no extensive review of articles on climate finance and tourism adaptation. This paper aims at reviewing climate finance studies published in English language to explore knowledge gaps in tourism adaptation. Sets of themes being advanced are also highlighted. Recommendations for future research are provided.

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