Support geared to local needs
The EIB's strategy in the RSA fully supports EU external cooperation policies, programmes and instruments by focusing on priority infrastructure projects of public interest and private sector initiatives, which:
- promote equitable and sustainable economic growth;
- contribute to employment creation, innovation and capacity development;
- support the sustainable provision and equitable access to basic infrastructure and services;
- contribute to the modernisation of the economy; and
- support the integration of South Africa into the world economy.
The EIB's regional office located in Tshwane, Pretoria, enables regular dialogue and constructive partnerships with local authorities, promoters, regional development banks, the delegation of the European Commission and the civil society.
The EIB also seeks to reinforce partnerships and cooperation with the European Commission and peer institutions, whether EU bilateral agencies, the European Development Finance Institutions, the African Development Bank, and other donor agencies and multilaterals.
In line with this strategy the EIB co-manages since 2002 the Risk Capital Facility in partnership with a South African development finance institution, the Industrial Development Corporation. The European Commission (EC) funded programme aims at providing equity funding to small and medium-sized Enterprises owed and operated by persons previously disadvantaged under the Apartheid regime.
Public and private sector investors operating in RSA, namely:
- private entrepreneurs and commercially-run public sector entities;
- investment funds and other financial intermediaries;
- large, medium, small and micro-enterprises, through credit lines extended to financial intermediaries and investments in private equity funds.
Added value has always been a cornerstone of EIB lending policy. The REsults Measurement framework (REM) formalises the process of identifying, from the outset, the value added of projects from the outset.
Throughout the project cycle, the EIB aims to transfer to its beneficiaries the economic and technical know-how it has gained from operations across the world.
The EIB concentrates on infrastructure and financial sector development. However, while implementing its strategy, the EIB takes particular account of the historical disparities between different sections of the population and the need to improve living conditions and economic empowerment of previously disadvantaged persons.
The Bank's projects in the RSA include, for example, contributions to improve access to safe drinking water, to transport infrastructure for the integration of rural regions, or to address the housing needs of the poor and marginalised urban population.