{
  "url": "https://openlegislation.uk/eu-regulation-2017-1601/article-13",
  "json_url": "https://openlegislation.uk/eu-regulation-2017-1601/article-13.json",
  "legislation": "eur/2017/1601",
  "legislation_title": "Regulation (EU) 2017/1601 of the European Parliament and of the Council of 26 September 2017 establishing the European Fund for Sustainable Development (EFSD), the EFSD Guarantee and the EFSD Guarantee Fund",
  "legislation_url": "https://openlegislation.uk/eu-regulation-2017-1601",
  "path": "article/13",
  "kind": "article",
  "number": "13",
  "heading": "Implementation of EFSD guarantee agreements",
  "text": "1. The Commission, on behalf of the Union, shall conclude EFSD guarantee agreements with the eligible counterparts selected pursuant to Article 11 and paragraph 4 of this Article on the granting of the EFSD Guarantee, which shall be unconditional, irrevocable, at first demand, and in favour of the selected eligible counterpart.\n2. One or more EFSD guarantee agreements shall be concluded for each investment window between the Commission and the eligible counterpart or eligible counterparts selected. In order to address specific needs, the EFSD Guarantee may be granted for individual financing or investment operations. Agreements may be concluded with a consortium of two or more eligible counterparts.\nAll EFSD guarantee agreements shall, upon request, be made available to the European Parliament and to the Council, taking into account the protection of confidential and commercially sensitive information.\n3. EFSD guarantee agreements shall contain, in particular, provisions concerning the following:\n(a) detailed rules on the provision of the EFSD Guarantee, including its arrangements on the coverage and its defined coverage of portfolios and of projects of specific types of instruments, as well as a risk analysis of projects and project portfolios, including at sectoral, regional and national levels;\n(b) the objectives and purpose of this Regulation, a needs assessment and an indication of the expected results, taking into account the promotion of corporate social responsibility and responsible business conduct, including, in particular, by respect for the internationally agreed guidelines, principles and legal instruments referred to in point (i) of Article 9(2);\n(c) the remuneration of the guarantee, which is to reflect the risk level, and the possibility for the remuneration to be partly subsidised in order to give more concessional terms in duly justified cases, in particular in the countries referred to in point (d) of Article 9(2);\n(d) requirements for the use of the EFSD Guarantee, including payment conditions, such as specific time frames, interest to be paid on due amounts, expenses and recovery costs and possibly necessary liquidity arrangements;\n(e) claims procedures, including, but not limited to, triggering events and waiting periods, and procedures regarding the recovery of claims;\n(f) the monitoring, reporting and evaluation obligations pursuant to Articles 16 and 17;\n(g) clear and accessible complaints procedures for third parties that could be affected by the implementation of projects supported by the EFSD Guarantee.\n4. The Commission, when concluding EFSD guarantee agreements with eligible counterparts, shall take due account of:\n(a) the advice and guidance of the strategic and regional operational boards, in accordance with Articles 5 and 6;\n(b) the objectives of the investment window;\n(c) the experience and operational, financial and risk management capacity of the eligible counterpart;\n(d) the amount of own resources, as well as private sector co-financing, that the eligible counterpart is ready to mobilise for the investment window.\n5. The eligible counterpart shall approve financing and investment operations following its own rules and procedures and in compliance with the terms of the EFSD guarantee agreement.\n6. The EFSD Guarantee may cover:\n(a) for debt instruments, the principal and all interests and amounts due to the selected eligible counterpart, but not received by it in accordance with the terms of the financing operations after an event of default has occurred;\n(b) for equity investments, the amounts invested and their associated financing costs;\n(c) for other financing and investment operations referred to in Article 9(2), the amounts used and their associated funding costs;\n(d) all relevant expenses and recovery costs related to an event of default, unless deducted from recovery proceeds.\n7. EFSD guarantee agreements shall lay down detailed rules on the cover, requirements, eligibility, eligible counterparts, and procedures.",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/eur/2017/1601/article/13",
    "retrieved_at": "2026-11-01T14:44:34.074827+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}