January 16th, 2003

I would like to congratulate Mr Markov on his report. He has committed much care, conscientious effort and good sense to assessing the role and performance of the European Bank for Reconstruction and Development. His comments are measured and are a positive contribution to the EBRD's future.

I have recently read in the press the title "the little known EBRD".If that is indeed the case, it is time that it became better known. Perhaps this exposure in the EP will help.This is the first time that the European Parliament has reported on the EBRD even though a majority of its capital and votes are held by EU member states, and EU investors, even though it has played and continues to play a vital role in helping many of the accession states to develop their economies and political institutions to the standards their people seek and which will permit their smooth entrance into the EU family.

That is not all - they are also providing a critical contribution to the countries which will border the enlarged EU. In this respect it is of particular interest that the EBRD last November announced a new strategy for its Russian operations which will extend their work into the regions of Russia away from Moscow and St Petersburg and help to diversify the Russian economy away from its over-dependance on natural resources. The EBRD is the largest single foreign investor in Russia and Russia is the largest country in the EBRD's portfolio.

Also of concern to us in the EU is the work done by the EBRD in Yugoslavia and the former republics of Yugoslavia in the Balkans. It is critical to the peace and security of our continent that these countries be assisted to reach a state of economic and political stability from which they can advance to membership of the EU in due course.

The EBRD is unique in its objectives for such an institution in that it not only aims to provide for economic progress but also has a very specific duty to help its client countries to develop a democratic culture and the necessary democratic institutions and procedures. The monitoring and measurement of its success must therefore take into account how far it has achieved its aims both economic and democratic.

It is difficult to be other than impressed by the EBRD's track record.The EPP/ED Group will be supporting Mr Markov's report as it stands. We will vote against all but 2 of the amendments which have been tabled as we feel they do nothing to enhance the report. The exceptions to this concern the newly launched Public Information Policy which we welcome. We can therefore support amendments 2 and 4 which also welcome and encourage a more open and transparent approach.

Hopefully the next time the European Parliament drafts a report on the EBRD it will be to welcome the continuing success of a well known and widely esteemed institution. May I wish the EBRD, its President Mr Jean Lemierre its staff and its clients continuing success in 2003 and the longer term future. Their success is important to us all.