Where now for the Project Bonds Initiative?

policyAs  the  pilot  phase  of  the  Project  Bond  Initiative  descends  into  acrimony  amid  the closure of its flagship pilot project, the recent downgrading of the Castor bonds to junk status and the Spanish government’s announcement that it expects to compensate investors  for  the  project,  it  is  hard  to  imagine  that  this  is  what  the  European Investment Bank (EIB) had in mind when it launched its much-vaunted Project Bond
Initiative.

After the fallout from the Castor project in Spain, more systemic weaknesses begin to emerge in the initiative. As more projects are earmarked, a worrying bias towards fossil fuel infrastructure can be noticed, which is at odds with the EU’s long terms goals  towards  a  decarbonised  economy.  It  is  time  the  EIB  put  aside  its  usual intransigence and recognises that the Project Bond Initiative is not fit for purpose.

Read the full policy briefing here

Twitter Digg Delicious Stumbleupon Technorati Facebook Email

No comments yet... Be the first to leave a reply!

Leave a Reply

You must be logged in to post a comment.