3. Notes that the agreement on the European Fund for Strategic
 Investments (EFSI) results in cuts in the Connected Europe Facility (CEF);  welcomes the initiative seeking to boost the involvement of the private sector in funding transport projects by means of innovative financial instruments;  notes, however, that some projects are less attractive for this type of operator as they yield too low or uncertain a return on investment;  nevertheless, recalls that the purpose of the EFSI is to correct market failure in sectors with a
 profitability risk profile which cou  ...[+++]ld discourage private investors, stresses, that although investments in railways, sustainable urban mobility and inland waterways produce substantial socio-economic and environmental benefits, they are less profitable and need grants for their implementation;  emphasises that, whatever the funding method adopted, the contribution from the EU budget must concentrate on projects of high European added value.