EIB drops €16.6bn for the globe

The world is plagued by just so many problems.

No sooner than one problem is solved that another surfaces.

Still reeling from global warming, cancer and many others, Coronavirus Disease 19 came to join the fray in a very mean-tempered manner and forced virtually everyone to have a rethink of our lives before it.

Even as it continues to try its best to wreak its havoc, humanity too tries to continue to respond as best as possible.

That’s just why the European Investment Bank has approved €16.6bn of new financing for projects across Europe and around the world with at least €10bn of it dedicated to COVID-19-related investments to improve public health, strengthen public services and back investment by companies in sectors hit by the pandemic.

The EIB board, meeting by video conference, also backed investment in climate, transport, clean energy and housing projects in Europe, Africa, Asia and Latin America.

“The COVID-19 pandemic may have been largely contained for the time being in Europe, but the number of companies seriously affected by the crisis continues to grow and the number of infected and seriously ill are rising rapidly on other continents. The EIB has worked with hundreds of public and private sector partners around the world to identify where our help is most needed and we make sure that the money moves quickly and the amount of financing set in motion by the EIB is now €19bn since the beginning of this crisis,” Werner Hoyer, President, European Investment Bank, said.

€10.2bn to help businesses and the public sector cope with the pandemic

The board approved €10.2bn of new financing to improve the public health response to COVID-19, ensure that key public services can adapt to new challenges and enable companies to survive economic shocks resulting from the pandemic and to invest into their future.

This includes €2bn to support COVID-19 public health and healthcare investment across Italy and €1.5bn to help local authorities in France to better respond to the pandemic.

An additional €1bn was approved to strengthen the public sector response to COVID-19 in the Czech Republic, Hungary, Bulgaria, Cyprus, Romania and Slovakia, €900m for public and private investment related to COVID-19 challenges across the Western Balkans and €800m for COVID-19 related business investment in Egypt.

Companies in Estonia, Greece, Italy, Latvia, Lithuania, Portugal and Slovakia most impacted by the pandemic will also be supported through new targeted credit lines.

Outside Europe the EIB will also enable companies in North and sub-Saharan Africa, the Eastern Neighbourhood and Southern Caucasus to access financing under a dedicated regional COVID-19 financing programme.

€1.9bn to improve energy efficiency, cut emissions and increase energy access

Energy bills and emissions will be significantly reduced following new district heating investment in France and the Netherlands approved by the EIB.

The EIB agreed € 900m of new green energy investment in Italy and Spain and backed a new cross border energy link between Greece and North Macedonia to reduce carbon emissions and phase out the use of lignite.

The EIB also approved financing to two new electricity interconnectors in Mali and Madagascar to reduce dependency on fossil fuels, increase energy access and increase the use of cheaper energy sources. In Mali the capital Bamako will be connected to the West Africa power pool and new sources of renewable energy from across the region.

Sustainable power generation in Colombia, Ecuador and Mexico will be strengthened under a new financing programme approved by the EIB.

Improving urban transport and green shipping

Commuters and residents of Krakow will benefit from cleaner and better public transport following EIB support for new investment in the city.

The EIB also agreed €1.1bn of new support that will transform public transport in cities across Egypt and €650m for construction of two new metro lines with 30 stations in the Indian city of Kanpur.

River, rail and road logistics in Europe will be enhanced and emissions reduced by upgrading the Duisburg inland port, another project backed by the EIB today.

Improving urban development and social housing

Thousands of families will benefit from new energy efficient social housing investment in Germany and energy efficient housing across Kenya.

A new project to accelerate investment in sustainable projects in Barcelona will contribute to achieving the goal to cut per capita carbon emissions by half in the Catalan capital.