The European Union should create a single development bank that would incorporate parts of the European Development Bank, European Investment Bank and European Commission, a group of experts led by former International Monetary Fund Managing Director Michel Camdessus suggest. The development bank they are proposing could be the European equivalent of the World Bank, according to EuropeanVoice.com.
Several reforms are necessary to prevent competition and duplication among the various facilities and instruments available to the EU, the experts say in a report to the European Parliament. These reforms are necessary if the bloc wants a more coherent presence on the global stage, according to the report.
In the short term, the EU should create a “platform for external cooperation and development,” the experts suggest. This platform should foster better coordination of the EIB, EBRD, European Commission and independent development banks of EU member countries.
However, in the medium term, the EU should restructure current departments in the EIB and European Commission dealing with external funding into a new agency or, more ambitiously, into a new development bank dedicated to lending outside the European Union.
The expert group was created in 2008 to advise on policy changes for the mid-term review of EIB’s 2007 to 2013 mandate for lending outside the EU.