REPORTING ON FINANCIAL INSTRUMENTS TO THE COMMISSION...

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FICHE NO 4B

REPORTING ON FINANCIAL INSTRUMENTS TO THE COMMISSION

UNDER THE ANNUAL AND FINAL IMPLEMENTATION REPORTS

Version 2 - 22 July 2013

Regulation Article

Common Provisions Regulation (CPR) Article 40(3) – Implementing act laying down

uniform conditions by establishing models to

be used when reporting on financial

instruments.

This document is provisional, without prejudice to the on-going negotiations (in line with the

principle that "nothing is agreed until everything is agreed"). This document is a draft that

shall be adjusted following the expert meeting.

It does not prejudge the final nature of the basic act, nor the content of any delegated or

implementing act that may be prepared by the Commission.

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1. EMPOWERMENT

Article 40(3) of the CPR sets out that:

"The Commission shall adopt, by means of implementing act, in accordance with the

examination procedure referred to in Article 143(3), arrangements laying down uniform

conditions by establishing models to be used when reporting on financial instruments".

This document is based on the most recent compromise text on Financial Instruments of 2

July 2013, without prejudice to the on-going negotiations (in line with the principle that

"nothing is agreed until everything is agreed").

2. MAIN OBJECTIVES AND SCOPE OF THE IMPLEMENTING ACT

The reporting model for financial instruments as a part of the annual and final implementation

reports should set up uniform conditions concerning the monitoring of financial instruments

and provision of monitoring information to the Commission.

These uniform conditions should ensure that information in respect of financial instruments

referred to in Article 33(1) (a) and Article 33(1) (b) is monitored by managing authorities and

reported to the Commission in a consistent and comparable way and can, where necessary, be

consolidated and aggregated.

As part of the simplification process, the model aims at avoiding any double reporting by the

managing authority on the financial instruments referred to in Article 33(1) (a) and Article 33

(1) (b).

The intention is to ensure complete, coherent reporting by the managing authorities, according

to all elements required under Article 40(2) and in line with the Financial Regulation. All the

essential elements included under the paragraphs (a) to (k) and transposed in the reporting

model shall allow the Commission to assess progress made in financing and implementing

financial instruments and present it, once per year, in summaries of the data pursuant to

Article 40(4).

By proposing this reporting model, the Commission aims also to ensure a suitable, reliable

and technically robust reporting specific to financial instruments, but still in the framework of

the annual reporting exercise on programmes.

Managing authorities will report on all financial instruments under their responsibility or

management, including financial instruments set-up at national, regional, transnational or

cross-border level (pursuant to Article 32(1)(b)) and the ESI Funds programmes contributions

to financial instruments set-up at Union level (pursuant to Article 32(1)(a)).

The reporting model should be completed separately for each financial instrument and, where

applicable, fund of funds. If the financial instrument/fund of funds receives contributions from

more than one ESI Fund and/or programme, the managing authority will report on the data

relative to the programme under its responsibility and priority axes or measures predefined in

section 1 of the reporting model.(The Commission pursuant to Article 40(4) will do the

consolidation of the data on financial instruments, provided by managing authorities in their

annual implementation reports.

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The same reporting model will apply for all types of delivery structures, namely for funds of

funds, financial instruments implemented with and without a fund of funds. The reporting

obligations, as set-up in article 40(2) (a)-(k) should not be applied at the level of final

recipient

The managing authority shall submit the reporting information on financial instruments as an

annex to their annual and final reports on implementation of programmes. The first report to

be submitted in 2016 shall cover the financial years 2014 and 2015, as well as the period

between the starting date for eligibility of expenditure and 31 December 2013.

All parts and sections in the reporting model will be mandatory, however the reporting

information required in paragraphs (j) and (k) of Article 40(2), should be provided in the

reporting model only twice during the programming period: in the annual implementation

reports submitted in 2017 and 2019, as well as in the final implementation report. The "light"

annual implementation reports, including the financial instrument information required in

Article 40(2) (a)-(h) will be submitted in 2016, 2018, 2020, 2021 and 2022.

Financial/quantitative data on financial instruments provided under the reporting model will

have to be completed by a general commentary on the implementation pursuant to Article

44(2) of CPR and to be included in the appropriate section of the model for annual

implementation report (section 2 of the AIR model for ERDF, ESF and CF). In this section,

managing authorities will provide key information and general commentary on the

implementation of financial instruments under the ESI Fund programme for the year

concerned.

3. MAIN ELEMENTS OF THE IMPLEMENTING ACT

The reporting model for 2014-2020 will have a similar structure to the reporting model used

for ERDF and ESF Operational Programmes as of 2011, under the programming period

2007-2013. This model may be further adapted to EAFRD and EMFF, according to the

specific regulations of those Funds.

The reporting model presents financial instruments information required under Article 40(2)

in the uniform reporting conditions.

Following the logic of paragraphs (a) to (k) of Article 40(2), the model is divided into 9 parts

numbered from I to IX. Each part refers to one paragraph of Article 40(2), with exception to

the part VII of the model covering two paragraphs (g and h).

The reporting model annexed to this fiche contains also some specifications of the format of

the information required (text, number or date) and the input method (selection of predefined

inputs or filling in with input). Detailed technical aspects of the requested information (as for

example: length of fields and links to the other information already available in the AIR, like

priority axes/measures, indicators) will be developed in SFC2014 and in further Commission

guidance on the reporting.

Further details covering the information provided under each part of the model are given

hereunder:

In Part I corresponding to Article 40(2)(a) of CPR, managing authorities will report on

programmes, priority axes and or/and measures from which support from the ESI Funds is

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provided to the financial instrument and to identify thematic objective(s) supported by the

financial instrument.

Part II refers to the description of the financial instrument and implementation arrangements

according to paragraph Article 40(2) (b) of CPR. In this part managing authorities will

describe the financial instrument, namely its name, official address/place of business and

specify if the latter is set up at Union level and managed by the European Commission or at

national/ regional/ transnational or cross-border level and managed by or under the

responsibility of the managing authority. Moreover, the managing authorities will report on

type of the financial instrument implemented (off-the-shelf or tailor- made FIs), its

implementing mode (financial instrument implemented with or without a fund of funds) and

geographical coverage (national, transnational or cross-border level). This part will also

specify the form of financial support offered by the financial instrument, including

information on other support combined within the financial instrument pursuant to Article

32(5) of CPR like grants, interest rate subsidy, and guarantee fee subsidy.

According to Article 40(2)(c) of CPR, Part III identifies the body/bodies implementing the

financial instrument (including funds of funds, where applicable), as referred to under

Articles 33(1)(a), 33(4)(a), (b) and (c), and the financial intermediaries referred to under

Article 33(6). The required information covers the procedure of selecting of the body/bodies

and a date of signature of the funding agreement.

Part IV refers to the total amount of the ESI Funds programme contributions (by priority axis

or measure) actually paid to the financial instrument (paragraph (d) of Article 40(2)) in

relation to contributions committed in the signed funding agreement.

Part V refers to the total amount of support paid to final recipients (or to the benefit of final

recipients) or committed in guarantee contracts, by the financial instrument for investments in

final recipients. This part includes as well management costs incurred or/and management

fees paid by the ESI Funds programme in relation to the investments made in final recipients

(Articles 40(2) (e) of CPR).

Part VI refers to the new paragraph (f) of Article 40(2) of CPR: the performance of the

financial instrument, including , progress in its set-up and in selection of bodies implementing

the financial instrument (including the body implementing a fund of funds). This part

presents also a state of play as regards completion of the ex-ante assessment(s) and selection

of financial intermediaries and number of funding agreements already signed. Information on

disbursed loans defaulted; guarantees provided and called due to the loan default will also

have to be provided under this part of the reporting model.

Part VII of the model contains information on interest and other gains generated by support

from the ESI Funds to the financial instrument, programme resources paid back to the

financial instrument from investments (as referred to in Article 37 and 38, with reference to

Article 40(2) (g). The value of equity investments with respect to previous years required in

the new paragraph (h) of Article 40(2) was also included in this part of the reporting model.

Part VIII aims to present progress in achieving the expected leverage effect of investments

made by the financial instrument and value of investments and participations, as required in

Article 40(2) (j) of CPR.

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Finally part IX should present the contribution of the financial instrument to the achievement

of indicators of the priority axis or measure concerned (according to Article40 (2) (k) of

CPR). This part will be linked to the output and result indicators set-up at the level the priority

axis or measure concerned.

4. MAIN CHANGES COMPARED TO THE PERIOD 2007-2013

The main changes concern the introduction of new elements as set out in Article 40(2) of the

CPR, in line with the Financial Regulation i.e.:

information on interest and other gains generated by support from the ESI Funds to the

financial instruments;

resources paid back to financial instruments from investments or from the release of

resources committed;

the value of equity investments, with respect to previous years; total amounts re-

invested by the financial instrument,

progress in achieving the expected leverage,

and contribution of the financial instrument to the achievement of the indicators of the

priority axis or measure concerned.

Compared to the previous programming period, there will be one reporting model not only for

financial instruments implemented under ERDF and ESF but also under all ESI Funds

(ERDF, CF, ESF, EAFRD and EMFF) programmes.

5. ANNEX: REPORTING MODEL ON FINANCIAL INSTRUMENTS

No.

Information required for each financial instrument implemented under the

ESI Funds programme (Fund of funds, financial instrument implemented

with and without a fund of funds)

Format of the

information and

input method

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I. Identification of the programme and priority or measure from which support from the

ESI Funds is provided (Article 40(2)(a) of Common Provisions Regulation No ….../2013) ////////////////////////////

1 Priority axis or measure supporting the financial instrument under the ESI Funds

programme ////////////////////////////

1.1 number number

1.2 title text

1.3 ESI Fund(s) supporting the financial instrument under the priority axis or measure selection button

2 Other ESI Funds programmes providing contributions to the financial instrument ////////////////////////////

2.1 Number of other ESI Funds programmes providing contributions to the financial

instrument

number

2.2 CCI n° of other ESI Funds programmes providing contributions to the financial

instrument

number

3 Thematic objective(s) supported by the financial instrument

selection button

(1) strengthening research, technological development and innovation and

communication technologies

(2) enhancing access to, and use and quality of, information and communication

technologies

(3) enhancing the competitiveness of small and medium sized enterprises, the

agricultural sector (for the EAFRD) and the fisheries and aquaculture sector (for

the EMFF)

(4) supporting the shift towards a low-carbon economy in all sectors

(5) promoting climate change adaptation, risk prevention and management

(6) protecting the environment and promoting resource efficiency

(7) promoting sustainable transport and removing bottlenecks in key network

infrastructures

(8) promoting employment and supporting labour mobility

(9) promoting social inclusion and combating poverty;

(10) investing in education, skills and lifelong learning;

(11) enhancing institutional capacity and an efficient public administration

II. Description of the financial instrument and implementation arrangements (Article

40(2)(b) of Common Provisions Regulation No ….../2013)

////////////////////////////

4 Name of the financial instrument/fund of funds text

5 Official address/place of business (country and town name) text

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6.1

Financial instruments set up at Union level, managed directly or indirectly by the

European Commission supported from ESI Funds programme contributions

(according to Article 33(1)(a) of CPR)

selection button

Horizon 2020 selection button

Competitiveness & SMEs (COSME)

Creative Europe

Social Change & Innovation

Erasmus for all

Connecting Europe Facility - Energy

Connecting Europe Facility- Digital

Connecting Europe Facility-Transport

Other

6.2

Financial instruments set up at national/ regional/ transnational or cross-border

level, managed by or under the responsibility of the managing authority supported

from ESI Funds programme contributions (according to Article 33(1)(b) of CPR)

selection button

Managing authority invested in the capital of existing or newly created legal

entities, including those financed from other ESI Funds, dedicated to

implementing financial instruments (according to Article 33(4)(a) of CPR)

selection button

Managing authority entrusted implementation tasks to the EIB, international

financial institutions or body governed by public or private law (according to

Article 33(4)(b) of CPR)

Managing authority undertook implementation tasks directly in the case of

financial instruments consisting solely of loans or guarantees (according to

Article 33(4)(c) of CPR)

7

Type of the financial instrument selection button

Tailor made

Off-the-shelf

8

Financial instrument set-up as selection button

Fund of funds

Financial instrument implemented with the fund of fund

Financial instrument implemented without the fund of funds

8.1 Name of the fund of fund under which the financial instrument is implemented text

9

Financial instrument set-up at ////////////////////////////

national level selection button

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regional level

transnational or cross-border level

10

Financial instrument is providing support under the form of ////////////////////////////

loans selection button

micro-loans

guarantees

equity or quasi-equity investments

other support combined within the financial instrument (pursuant to Article 32(5)

of CPR)

other financial product

10.1

Other support combined within the financial instrument (pursuant to Article

32(5) of CPR) ////////////////////////////

grant selection button

interest rate subsidy

guarantee fee subsidy

11

Legal status of the financial instrument ( pursuant to Article 33(7) of CPR) ////////////////////////////

fiduciary account opened in the name of the implementing body and on behalf of

the managing authority

selection button

separate block of finance within a financial institution

III. Identification of the body implementing financial instruments (and funds of funds

where applicable), as referred to under Articles 33(1)(a), 33(4)(a), (b) and (c), and the

financial intermediaries referred to under Article 33(6) (Article 40(2)(c) of Common

Provisions Regulation No ….../2013)

////////////////////////////

12 Body implementing the financial instrument ////////////////////////////

12.1

Type of implementing body ////////////////////////////

European Investment Bank selection button

European Investment Fund

International financial institution in which a Member State is a shareholder

Financial institution established in a Member State aiming at the achievement of

public interest under the control of a public authority

A body governed by public or private law

12.2 Name text

12.3 Official address/place of business (country and town name) text

13 Procedure of selecting of the implementing body pursuant to Article 33(4) of

CPR selection button

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award of a public contract

award of a grant

other procedure

13.1 description of other procedure text

14 Date of signature of the funding agreement date

IV. Total amount of programme contributions, by priority or measure, paid to the financial

instrument (Article 40(2)(d) of Common Provisions Regulation No ….../2013) ////////////////////////////

15 Total amount of programme contributions committed in funding agreement

( in EUR) number (amount)

15.1 out of which ESI Funds contributions ( in EUR) number (amount)

16 Total amount of programme contributions paid to the financial instrument


16.1 out of which amounts of ESI Funds contributions ( in EUR) number (amount)

16.1.1 out of which ERDF (in EUR) number (amount)

16.1.2 out of which Cohesion Fund (in EUR) number (amount)

16.1.3 out of which ESF(in EUR) number (amount)

16.1.4 out of which EAFRD (in EUR) number (amount)

16.1.5 out of which EMFF (in EUR) number (amount)

16.2 out of which total amount of national counterpart number (amount)

16.2.1 out of which total amount of national public funding number (amount)

16.2.2 out of which total amount of national private funding number (amount)

16.3

total amount of management costs and fees paid out of programme

contributions

number (amount)

V. Total amount of support paid to final recipients, or to the benefit of final recipients, or

committed in guarantee contracts, by the financial instrument for investments in final

recipients, as well as management costs incurred or management fees paid, by ESI Funds

programme and priority or measure (Articles 40(2)(e) of Common Provisions Regulation

No ….../2013)

////////////////////////////

17 Total amount of support paid to final recipients or to the benefit of final

recipients in loans ////////////////////////////

17.1 Name of loan product text

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17.2 Date of signature of funding agreement for loan product date

17.3 Total value of loans committed in contracts signed with final recipients (in EUR) number (amount)

17.3.1 out of which ESI Funds programme contributions (in EUR) number (amount)

17.4 Total value of loans disbursed to final recipients from programme contributions (

in EUR) number (amount)

17.4.1 out of which total amount of support from the ESI Funds (in EUR) number (amount)

17.4.1.1 out of which ERDF (in EUR) number (amount)

17.4.1.2 out of which Cohesion Fund (in EUR) number (amount)

17.4.1.3 out of which ESF(in EUR) number (amount)

17.4.1.4 out of which EAFRD (in EUR) number (amount)

17.4.1.5 out of which EMFF (in EUR) number (amount)

17.4.2 out of which total amount of national public funding (in EUR) number (amount)

17.4.3 out of which total amount of national private funding (in EUR) number (amount)

17.4.4 out of which amounts of microloans ( in EUR) number (amount)

17.5 Number of loan contracts signed with final recipients number

17.6 Number of final recipients supported by loans number

17.6.1 out of which large enterprises number

17.6.2 out of which SMEs number

17.6.3 out of which microenterprises number

17.6.4 out of which individuals number

17.6.5 out of which other type of final recipients supported number

17.6.5.1 description of other type of final recipients supported text

17.7 Management costs incurred or/and management fees paid by the financial

instrument (in EUR) number (amount)

17.7.1 out of which amount attributable to the support from the ESI funds (in EUR) number (amount)

18 Total amount of support committed to final recipients or to the benefit of

final recipients in guarantees ////////////////////////////

18.1 Name of guarantee product text

18.2 Date of signature of funding agreement for guarantee product date

18.3 Total amount of programme contributions committed for guarantee contracts

signed with final recipients (in EUR) number (amount)

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18.4 Total amount of programme contributions committed for guarantee contracts for

loans paid to final recipients (in EUR) number (amount)




18.4.1.3 out of which ESF (in EUR) number (amount)





18.4.4

out of which total amount of ESI Funds committed for guarantee contracts for

microloans paid to final recipients (in EUR)

number (amount)

18.5

Total value of loans actually paid to final recipients in relation to guarantees

contracts signed (in EUR)

number (amount)

18.6

Number of loans paid to final recipients in relation to guarantees contracts signed

with final recipients

number

18.7 Number of final recipients supported by guarantees number











recipients in equity or quasi-equity investments ////////////////////////////

19.1 Name of equity or quasi-equity investment text

19.2 Date of signature of funding agreement for equity quasi-equity investment date

19.3 Total value of investments in contracts signed with final recipients (in EUR) number (amount)

19.4 Total value of investments made to final recipients from programme contributions


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19.5 Number of equity or quasi-equity investments made number

19.6 Number of final recipients supported by equity or quasi-equity investments number











recipients in other financial product investments ////////////////////////////

20.1 Name of other financial product text

20.2 Date of signature of funding agreement for other financial product date

20.3 Total value of investments in contracts signed with final recipients (in EUR) number (amount)

20.4 Total amount of investments made to final recipients from programme

contributions (in EUR) number (amount)

20.4.1 out of which total amounts of support from the ESI Funds (in EUR) number (amount)





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20.5 Number of other financial product investments made to final recipient number

20.6 Number of final recipients supported by other financial product number










VI. The performance of the financial instrument, including progress in its set-up and in

selection of bodies implementing the financial instrument (including the body implementing

a fund of funds) (Article 40(2)(f) of Common Provisions Regulation No ….../2013)

////////////////////////////

////////////////////////////

/////

21 Date of completion of ex-ante assessment by the managing authority ( preceding

set-up or contribution to the FI ) date

22 Selection of financial intermediaries

////////////////////////////

////////////////////////////

/////

22.1 number of selection procedures already launched number

22.2 number of funding agreements already signed number

23 Was the financial instrument still operational at the end of the reporting year? text

23.1 If no, date of the winding-up date

24 Total number of disbursed loans defaulted number

25 Total amount of disbursed loans defaulted (in EUR) number (amount)

26 Total number of guarantees provided and called due to the loan default number

27 Total committed amount for guarantees provided and called due to loan default

(in m EUR) number (amount)

VII. Interest and other gains generated by support from the ESI Funds to the financial

instrument, programme resources paid back to the financial instrument from investments

as referred to in Article 37 and 38, and the value of equity investments with respect to

previous years (Article 40(2)(g) and (h) of Common Provisions Regulation No ….../2013)

////////////////////////////

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28 Interest and other gains generated by payments from ESI Funds programme to the

financial instrument (in EUR) number (amount)

29 Amounts repaid to the financial instrument attributable to support from ESI Funds

programmes by end of the reporting year (in the meaning of Article 38 of CPR) number (amount)

30.1 out of which, capital repayments (in EUR) number (amount)

30.1.1 out of which, capital repayments attributable to the support from ESI Funds (in

EUR) number (amount)

30.2 out which gains, other earnings and yields (in EUR) number (amount)

30.2.1 out which gains, other earnings and yields attributable to the support from ESI

Funds (in EUR) number (amount)

31 Amounts repaid to the financial instrument attributable to the support from ESI

funds programmes and re-invested by the specific financial instrument

////////////////////////////

////////////////////////////

/////

31.1 Amounts repaid and re-invested through the same financial instruments (in EUR) number (amount)

31.1.1 out of which, amounts attributable to the support from the ESI funds (in EUR) number (amount)

31.2 Amounts repaid and re-invested through other financial instruments (in EUR) number (amount)


31.3

Amounts repaid and used for preferential remuneration of private investors or

public investors operating under the market economy principle (who provide

counterpart resources to the support from the ESI Funds to the financial

instrument or who co-invest at the level of final recipient)

number (amount)


31.4 Amounts repaid and used for the reimbursement of management costs incurred

and payment of management fees of the financial instrument number (amount)


32 Value of equity investments, with respect to previous years ( in EUR) number (amount)

VIII. Progress in achieving the expected leverage effect of investments made by the financial

instrument and value of investments and participations (Article 40(2)(j) of Common

Provisions Regulation No ….../2013)

////////////////////////////

33 Total amount of other contributions made to the financial instruments (outside

ESI Funds programme) ////////////////////////////

33.1 Total amount of other contributions committed in the funding agreement number (amount)

33.2 Total amount of other contributions paid to the financial instrument (in EUR) number (amount)

34 Expected and achieved leverage effect, by reference to the funding agreement ////////////////////////////

34.1 Expected leverage effect for loan products, by reference to the funding agreement number

34.1.1 Achieved leverage at the end of the reporting year number

34.2 Expected leverage effect for guarantee products, by reference to the funding

agreement number

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34.3 Expected leverage effect for equity or quasi-equity investments, by reference to

the funding agreement number


34.4 Expected leverage effect for investments made in other financial product, by

reference to the funding agreement number


35 Total amount of additional resources ( other than programme contributions)

mobilised at the level of final recipients (in EUR) number (amount)

35.1 out of which additional private resources number (amount)

35.2 out of which additional public resources number (amount)

35.3 out of which already disbursed in loans number (amount)

35.4 out of which already disbursed in guarantees number (amount)

35.5 out of which already disbursed in equity/venture capital investments number (amount)

IX. Contribution of the financial instrument to the achievement of the indicators of the

priority or measure concerned (Article 40(2)(k) of Common Provisions Regulation No

….../2013)

////////////////////////////

36 Output indicator (code number and name) to which the operation contributes

number and

measurement unit

or text

36.1 Target output

number and

measurement unit

or text

36.2 Achieved value of the output indicator

number and

measurement unit

or text

37 Result indicator (code number and name) to which the operation contributes

number and

measurement unit

or text

37.1 Target result

number and

measurement unit

or text

37.2 Baseline

number and

measurement unit

or text

37.3 Achieved value of a result indicator

number and

measurement unit

or text

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