EBRD and EU join efforts to boost green finance

ArmInfo. The European Bank for  Reconstruction and Development (EBRD) and the European Union (EU) are  stepping up their support for green investments and climate  resilience in Egypt, Morocco and the countries of the Eastern  Partnership (Armenia, Azerbaijan, Belarus, Georgia, Moldova and  Ukraine), the press service of  EBRD  reports.

According to the source, EU is providing a total of EUR 61.3 million  in grants to support three EBRD programmes helping businesses invest  in energy efficiency, cut their carbon footprint, introduce  innovative green technologies, support the circular economy and  improve legal frameworks for energy and resource efficiency  investments.

Climate finance is a crucial instrument for green investments, to  increase the use of renewable energy and to build a low-carbon  future, especially at a time when the coronavirus pandemic and the  drop in fossil fuel prices threaten climate action progress. The EBRD  and the EU via Team Europe are committed to accelerating a green  recovery in the countries where they work together.

In Egypt, a EUR24.8 million grant from the EU will support the EBRD's  Green Energy Financing Facility (GEFF), which focuses on supporting  energy-efficient and renewable energy investments through local  financial institutions for lending on to private companies.

Similarly, in Morocco, GEFF will benefit from a EUR 21.1 million EU  grant that will allow local businesses to invest in green  technologies. Beneficiaries will reduce their costs by implementing  climate adaptation measures, energy-efficient and renewable-energy  technologies, thus also improving their overall competitiveness.  In  the Eastern Partnership region, EUR15.4 million from the EU4Climate  initiative will be channelled through the EBRD's Finance and  Technology Transfer Centre for Climate Change (FINTECC) programme to  corporate sector clients via investment grants, technical assistance  and the offer of climate innovation vouchers, which are expected to  accelerate the adoption of innovative climate technologies and  sustainable business practices.

Pierre Heilbronn, EBRD Vice President, Policy and Partnerships, said:  "Our strong cooperation with the EU will bring concrete benefits for  the environment in the countries where we jointly provide climate  finance and support. On top of our investments, we will also focus on  improving the regulatory framework for such green investments to  develop a sustainable market for climate technology in the region.

"Oliver Varhelyi, European Union Commissioner for Neighbourhood and  Enlargement, said: "Our longstanding cooperation with the EBRD is  extremely valuable, including in the domain of green finance where  the bank has important experience. In Egypt and Morocco as well as in  the Eastern Partnership countries, our joint support will help to  step up energy-efficient and renewable-energy investments in the  private sector, thus helping to build sustainable economies.

"The EBRD is a pioneer in financing projects that promote renewable  energy and combat climate change.  To date, the EBRD has signed ?34  billion in green investments, financed more than 1,900 green projects  and reduced over 102 million tonnes of carbon dioxide emissions.