EU and EIB to boost businesses in partner countries through €1.3 billion financing

As a result of a new agreement between the European Commission and EIB Global, announced on 24 April, private project partners, small and medium-sized enterprises (SMEs) and financial institutions in EU partner countries will have access to €1.3 billion in funding to support infrastructure projects in clean energy and digitalisation. 

This new initiative is supported by a €362 million EU guarantee through the European Fund for Sustainable Development Plus (EFSD+) that will benefit companies and banks in Eastern Neighbourhood (€30 million), the Western Balkans (€99 million), Türkiye (€22.5 million), and the Middle East and North Africa (€ 210 million) over the next three years.

The agreement will strengthen ties between the EU and its neighbourhood, enhance energy security and create local jobs. Among other things, the package will benefit key value chains such as textiles and agrifood, innovation, green and social projects in the Eastern and Southern Neighbourhood and the Western Balkans. EIB Global will channel this support through €482 million in financing for local banks.

Commissioner for Enlargement Marta Kos said: “Through our partnership with the EIB, we are delivering where it matters most for our partner countries: more investment in infrastructure, better access to finance for small businesses, and faster progress on the energy and digital transition. This is how enlargement translates into concrete benefits for citizens and business.”

The European Fund for Sustainable Development Plus (EFSD+) was established in June 2021 and is a key tool of the EU’s Global Gateway initiative. EFSD+ provides grants and guarantees for investment projects through International Financial Institutions (IFIs) and has a global guarantee capacity of €39.8 billion for the period 2021 to 2027.

The European Investment Bank (ElB) Group is the financing arm of the European Union, owned by the 27 Member States, and one of the largest multilateral development banks in the world. EIB Global is the EIB Group’s specialised arm devoted to increasing the impact of international win-win partnerships and development finance.

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Press release