In this paper we aim to make specific proposals on how one key and successful EU institution, the
European Investment Bank, (EIB) can expand its lending significantly, in ways that will make a meaningful
contribution to growth, particularly in the countries, whose economies and citizens have suffered
most from the sovereign debt crisis; we will also examine the role which EU Structural Funds
can both on their own, and especially as a complement to EIB lending, further contribute to EU
growth. After outlining in some detail the type of measures that can be taken, as well as their scale,
we model the likely impact on GDP and employment, which would be significant. One important
advantage of our approach is that with fairly limited public resources, it can achieve a very large impact,
due to the benefits of leverage.