The Europe 2020 project bond initiative: an alternative to finance infrastructure in Europe
The economic and financial crisis that struck Europe over the last few years has imposed much stricter capital and liquidity requirements for commercial banks thereby reducing their ability to provide funding to infrastructure projects. To circumvent this problem the European Union has promoted the...
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| Format: | Article |
| Language: | English |
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Vilnius Gediminas Technical University
2018-01-01
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| Series: | Technological and Economic Development of Economy |
| Subjects: | |
| Online Access: | http://journals.vgtu.lt/index.php/TEDE/article/view/82 |
| _version_ | 1818879170109767680 |
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| author | José Manuel Vassallo Thais Rangel María de los Ángeles Baeza Paola Carolina Bueno |
| author_facet | José Manuel Vassallo Thais Rangel María de los Ángeles Baeza Paola Carolina Bueno |
| author_sort | José Manuel Vassallo |
| collection | DOAJ |
| description | The economic and financial crisis that struck Europe over the last few years has imposed much stricter capital and liquidity requirements for commercial banks thereby reducing their ability to provide funding to infrastructure projects. To circumvent this problem the European Union has promoted the Europe 2020 Project Bond Initiative (PBI) aimed at using European funds for credit enhancement to increase the appetite of institutional investors – such as pension funds and insurance companies – to boost large-scale infrastructure financing. In this paper we describe the specific constraints and attractiveness of the PBI within Europe using the SWOT methodology to analyse the information coming from both pilot case studies and the responses that institutional investors and other stakeholders provided to the EC public consultation about the PBI. On the basis of this information we found that even though the initiative may contribute to facilitate infrastructure financing in Europe, there are still some challenges to be addressed for its right implementation.
First published online 9 January 2017 |
| first_indexed | 2024-12-19T14:25:49Z |
| format | Article |
| id | doaj.art-d1f5eb53cccb47508376d41cfe3c5fe9 |
| institution | Directory Open Access Journal |
| issn | 2029-4913 2029-4921 |
| language | English |
| last_indexed | 2024-12-19T14:25:49Z |
| publishDate | 2018-01-01 |
| publisher | Vilnius Gediminas Technical University |
| record_format | Article |
| series | Technological and Economic Development of Economy |
| spelling | doaj.art-d1f5eb53cccb47508376d41cfe3c5fe92022-12-21T20:17:37ZengVilnius Gediminas Technical UniversityTechnological and Economic Development of Economy2029-49132029-49212018-01-0124110.3846/20294913.2016.1209251The Europe 2020 project bond initiative: an alternative to finance infrastructure in EuropeJosé Manuel Vassallo0Thais Rangel1María de los Ángeles Baeza2Paola Carolina Bueno3Transport Research Center (TRANSyT), Universidad Politécnica de Madrid, ETSI Caminos, Canales y Puertos. C/ Profesor Aranguren s/n. 28040 Madrid, SpainTransport Research Center (TRANSyT), Universidad Politécnica de Madrid, ETSI Caminos, Canales y Puertos. C/ Profesor Aranguren s/n. 28040 Madrid, SpainDepartment of Financial Economic and Accounting, Universidad de Granada, Campus Universitario de La Cartuja, 18011 Granada, SpainTransport Research Center (TRANSyT), Universidad Politécnica de Madrid, ETSI Caminos, Canales y Puertos. C/ Profesor Aranguren s/n. 28040 Madrid, SpainThe economic and financial crisis that struck Europe over the last few years has imposed much stricter capital and liquidity requirements for commercial banks thereby reducing their ability to provide funding to infrastructure projects. To circumvent this problem the European Union has promoted the Europe 2020 Project Bond Initiative (PBI) aimed at using European funds for credit enhancement to increase the appetite of institutional investors – such as pension funds and insurance companies – to boost large-scale infrastructure financing. In this paper we describe the specific constraints and attractiveness of the PBI within Europe using the SWOT methodology to analyse the information coming from both pilot case studies and the responses that institutional investors and other stakeholders provided to the EC public consultation about the PBI. On the basis of this information we found that even though the initiative may contribute to facilitate infrastructure financing in Europe, there are still some challenges to be addressed for its right implementation. First published online 9 January 2017http://journals.vgtu.lt/index.php/TEDE/article/view/82infrastructure financingproject bondsEuropean Unioninstitutional investorseconomic recessioncapital markets |
| spellingShingle | José Manuel Vassallo Thais Rangel María de los Ángeles Baeza Paola Carolina Bueno The Europe 2020 project bond initiative: an alternative to finance infrastructure in Europe Technological and Economic Development of Economy infrastructure financing project bonds European Union institutional investors economic recession capital markets |
| title | The Europe 2020 project bond initiative: an alternative to finance infrastructure in Europe |
| title_full | The Europe 2020 project bond initiative: an alternative to finance infrastructure in Europe |
| title_fullStr | The Europe 2020 project bond initiative: an alternative to finance infrastructure in Europe |
| title_full_unstemmed | The Europe 2020 project bond initiative: an alternative to finance infrastructure in Europe |
| title_short | The Europe 2020 project bond initiative: an alternative to finance infrastructure in Europe |
| title_sort | europe 2020 project bond initiative an alternative to finance infrastructure in europe |
| topic | infrastructure financing project bonds European Union institutional investors economic recession capital markets |
| url | http://journals.vgtu.lt/index.php/TEDE/article/view/82 |
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