EIB pledges billions for sustainable infrastructure projects

The European Investment Bank (EIB) has announced a programme of over €5 billion in new financing to support new green energy, business, transport, health and education across Europe and around the world.

The move comes as the EIB president said people and businesses across the world face the ongoing impact of energy shocks.

Under the new programme the bank has committed €2.4 billion of support for new renewable and sustainable energy investment.

This included streamlined financing for new renewable energy projects across France, backing expansion of the energy transmission grid in Iceland, Portugal and Romania, grid investment in Brazil to connect renewable energy schemes and construction of three new solar power generation plants in Uzbekistan.

The bank has also confirmed financing to reinforce the electricity distribution network in Hungary and support priority energy investment across Lithuania.

The EIB also agreed €1.3 billion backing to strengthen private sector financing initiatives in cooperation with local banks and lending partners in Morocco and Serbia and targeted support for climate action and energy efficiency business investment in Portugal and across Africa, the Caribbean and Pacific.

New direct EIB financing will be used to strengthen research compressor and vacuum technology, development of industrial enzymes and proteins and adoption of renewable energy at food production plants in Poland and Romania.

The scheme will also finance the construction four new residential areas in Berlin, including affordable housing, kindergartens, accommodation for vulnerable groups, assisted living and care facilities, support for energy efficient affordable housing in Milan, and new high energy efficient residential buildings across Finland.

In terms of the drive for more sustainable transport the bank has agreed €501 million in financing to enhance sustainable transport in Europe and Africa. This includes backing rehabilitation of a 167 km TEN-T rail link in Montenegro, provision of double-decker regional passenger trains in Austria and enhancing capacity, efficiency and safety of the Port of Leixões in Portugal.

The EIB also agreed to support construction of a new 14km bus rapid transit line in Nairobi alongside acquisition and charging facilities for 120 electric buses.

It will back the construction of a new 875 bed hospital and expanding student housing and campus development, both in Lisbon. The EIB also agreed support for upgrading campus facilities at the University of Bologna and refurbishment of publicly owned sports and cultural facilities across Italy.

New private and public sector health, pharmaceutical and medical investment across Africa will also be unlocked by the streamlined financing the bank added.

“The EIB’s backing for transformational renewable energy projects approved today demonstrates our firm commitment to support the REPowerEU plan with additional clean energy financing to enable Europe to end dependency on imported fossil fuels. These are crucial matters for European citizens, and we intend do even more in the future”, said Werner Hoyer, President of the European Investment Bank. “Businesses and households around the world are facing the impact of energy shocks. Today’s board strengthened the EIB’s support for new investment to cut energy bills and accelerate the development and connection of renewable energy.”