BRUSSELS — The European Commission has released its vision for the European development finance system, promising a “new comprehensive coordination mechanism” to improve coherence with European Union member states and the international finance institutions they hold shares in. However, it remains unclear what this kind of mechanism might entail.
The 14-page document from the EU’s executive arm stops short of saying whether the European Bank for Reconstruction and Development or the European Investment Bank is best placed to become the bloc’s sustainable development bank — a key point of contention in ongoing debates over the future of European development finance. Insiders say that question has been put on hold until after the annual meeting of EBRD’s board of governors in May, which will see the bank’s shareholders appoint a new president and approve a new strategic plan.
“Everybody is waiting on what happens at the EBRD,” an EU member state representative, speaking on condition of anonymity, told Devex.