Article 1

1.

The Community shall grant the European Investment Bank (EIB) a global guarantee in respect of all payments not received by it but due in respect of credits opened, in accordance with its usual criteria, and in support of the Community’s relevant external policy objectives, for investment projects carried out in the South-eastern neighbours, the Mediterranean countries, Latin America and Asia and the Republic of South Africa.

This guarantee shall be restricted to 65 % of the aggregate amount of the credits opened, plus all related sums. The overall ceiling of the credits opened shall be equivalent to EUR 19 460 million, broken down as follows:

  • south-eastern neighbours:

    EUR 9 185 million,

  • Mediterranean countries:

    EUR 6 520 million,

  • Latin America and Asia:

    EUR 2 480 million,

  • Republic of South Africa:

    EUR 825 million,

  • special action supporting the consolidation and intensification of the EC-Turkey Customs Union:

    EUR 450 million;

and may be used by 31 January 2007 at the latest. The credits already signed shall be taken into account as a deduction from the regional ceilings.

The Commission shall report on the application of this Decision at the latest six months before any new accession treaties enter into force, and make proposals for amendments of this Decision if appropriate. The Council will discuss and act on any proposal with effect from the date of entry into force of any new accession treaty.

If, on expiry of the guaranteed lending period on 31 January 2007, the loans granted by the EIB have not attained the overall amounts referred to in the second subparagraph, this period shall be automatically extended by six months.

2.

The countries covered by paragraph 1 are:

  • South-eastern neighbours: Albania, Bosnia and Herzegovina, Croatia, former Yugoslav Republic of Macedonia, Serbia, Montenegro and Turkey,

  • Mediterranean countries: Algeria, Egypt, Israel, Jordan, Lebanon, Morocco, Syria, Tunisia and Gaza-West Bank,

  • Latin America: Argentina, Bolivia, Brazil, Chile, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, Uruguay and Venezuela,

  • Asia: Bangladesh, Brunei, China, India, Indonesia, Laos, Macao, Malaysia, the Maldives, Mongolia, Nepal, Pakistan, Philippines, Singapore, South Korea, Sri Lanka, Thailand, Vietnam and Yemen,

  • Republic of South Africa.

3.

The EIB is invited to aim to cover the commercial risk on 30 % of its lending under this Decision from non-sovereign guarantees as far as possible on an individual regional mandate basis. This percentage shall be expanded upon whenever possible in so far as the market permits.