Securitisation and the Funding Gap for Project Finance and SMEs

Published in 
CEPS - Centre for European Policy Studies 1 Place du Congrès / Congresplein 1000 Brussels

The excesses of the sub-prime crisis highlighted the dangers of the originate-to-distribute model and led to the dry-up of most securitisation markets in Europe. However, in converting illiquid pools of assets into securities that can be purchased by investors in capital markets, securitisation can play an important role in the long-term financing of industrial and infrastructure projects, as well as SMEs. The challenge is in controlling some of the risks inherent to the process such as complexity, transparency and volume-based incentives. Miguel de la Mano (European Commission), Guido Bichisao (European Investment Bank) and Ian Bell (Prime Collateralised Securities) all agreed at this ECMI-CEPS event that Europe needs to revive its capital markets to ride its way out of the crisis, including by the use of securitisation as a tool permitting institutional investors to benefit from the local underwriting expertise of banks. The prudential framework may need to be fine-tuned to better differentiate good quality securitisation from complex and opaque one.


  • Miguel de la Mano, Head of Unit, Analysis of Financial Markets Issues, European Commission
  • Guido Bichisao, Head of the Institutional Strategy Department, European Investment Bank
  • Ian Bell, Head of the Prime Collateralised Securities (PCS) Secretariat
  • Karel Lannoo, CEO and Senior Research Fellow, CEPS-ECMI [moderator]


For more information please contact Karin Lenk at karin.lenk@ceps.eu or phone 0032 2 229 39 78.