A critical raw materials price index derived from anonymised transaction data could reduce uncertainty for investors and support Europe's critical raw material goals, European Investment Bank (EIB) vice-president Nicola Beer told the European Parliament this week.
Greater transparency is needed in volatile and fragmented critical minerals markets in order to provide investors with clearer signals on prices, demand and future prospects, Beer said.
Beer proposed an international price index that would require market participants to conduct transactions through designated trading platforms or report relevant transaction data. This would be validated by established price reporting agencies. The mechanism should use the transaction data already available in critical raw material markets, she said.
Beer also highlighted the need to connect market intelligence more directly with investment decisions to guide capital effectively.
She said Europe's critical raw materials challenge is not primarily mining, but rather understanding exposure, bottlenecks, and where investment can make the greatest difference.
The EIB is developing a "heat map" to identify where disruption will have the greatest industrial consequences, which bottlenecks can realistically be addressed, and what types of investment would best reduce them.
Critical raw materials remain high on Europe's political agenda, with policymakers working to provide a stable framework — including through the latest multi-annual financial framework, the EU's long-term spending plan that sets maximum annual budget limits for at least five to seven years.
While the EIB helps drive investment in viable projects, to fund higher-risk projects and strengthen Europe's critical raw materials pipeline, it needs mandates, equity and risk-sharing instruments, Beer said.
"Europe will not eliminate every external dependency," Beer noted. "But Europe must identify where dependence creates unacceptable risks and act where it can make a difference."
