The European Bank for Reconstruction and Development (EBRD), the Agence Française de Développement(AFD), the European Investment Bank (EIB) and the European Union (EU) have launched a €140m Green Economy Financing Facility for Egypt.
The programme will provide loans for energy efficiency and small-scale renewable energy investments by private companies through a group of participating banks.
Stéphanie Lanfranchi, country director for Agence Française de Développement Egypt, said: “The energy transition is the main challenge for the fight against climate change. With its partners, AFD seeks to mobilise networks of financiers in order to support renewable energy and energy efficiency investments in the region. We truly believe that private sector players have a key role to play in devising new, less polluting and more resilient development models.”
The programme is being supported by an EU grant of €23.8 million. The National Bank of Kuwait, the Qatar National Bank and AlAhli Bank are the first banks to participate in the new facility.
The European Union Neighbourhood Investment Facility is providing the funds for incentives to complete investments, while the comprehensive technical assistance package is jointly funded by the investment facility and the EBRD’s Shareholder Special Fund.
Janet Heckman, EBRD’s managing director for the southern and eastern Mediterranean region, commented:
“This facility is part of a new EBRD green economy financing facility programme aiming at promoting better practices and raising awareness of the benefits of green economy investments.”