In PPPs, the Bank usually lends in parallel with commercial banks and there needs to be agreement on how decisions are to be coordinated (a) when the EIB is guaranteed by the commercial banks but will assume risk on the project in due course, and (b) when EIB has assumed risk on the project. This process evolved during the time of the projects evaluated, but the typical final position reached was that:
• all decisions are taken by the commercial banks while the EIB is fully guaranteed, but the EIB has the right to refuse to release their guarantee if it is not satisfied with these decisions;
• once the EIB is on-risk, all decisions require the consent of both the commercial banks and the EIB separately.
This structure means that the EIB, which is usually the largest single lender, has an appropriate say in lenders' joint decisions.