EIB becomes an eligible counterparty in the Eurosystem’s monetary policy operations

The Governing Council of the European Central Bank (ECB) has today decided that the European Investment Bank (EIB) will become an eligible counterparty in the Eurosystem’s monetary policy operations on 8 July 2009.

As of this date, the EIB will have access, if and when appropriate for its treasury management, to the Eurosystem’s open market operations and standing facilities through the Banque centrale du Luxembourg under the same conditions as any other counterparty. The EIB will comply with all eligibility requirements and it will hold minimum reserves with the Eurosystem.

Access to the Eurosystem’s liquidity is a natural complement to the EIB’s financing initiatives and will facilitate the accommodation by the EIB of additional demand for its lending programme. At present, this additional demand is estimated to be €10 billion in 2009. Given the usual leverage ratios involved, it is estimated by the EIB that such additional financing could generate additional investment value up to €40 billion this year.

More information on the EIB’s activities can be found in the statement issued by the EIB today.