The EU Bank boosts its support for cities and regions
7 October 2019
The European Investment Bank (EIB) commits to support cities and regions through its lending and advisory services
Cities will benefit from an increase of investments for climate action and environmental sustainability
New support announced for sustainable transport, affordable and energy efficient housing, education and climate change resilience
The EIB boosts its support for cities and regions to tackle climate change and foster social inclusion. During the last 5 years (2014-2018), the EU bank dedicated EUR 104 billion to urban lending including health, housing, urban transport or water and wastewater management.
Ahead of the European Week of Cities and Regions in Brussels, the EU Bank announced new support for projects across Europe:
EUR 90 million for the financing of six high schools and professional schools in Guadeloupe
EUR 115 million loan to the public transport provider of Rotterdam and the Metropole-region Rotterdam-The Hague to acquire new electric and diesel-hybrid buses, install charging infrastructure and renew tram and metro tracks around the city.
EUR 200 million financing to support clean urban transport in Spain, in cities such as Las Palmas de Gran Canaria, Barcelona, Valencia and Palma de Mallorca
Vazil Hudak, EIB Vice-President responsible for financing economic and social cohesion commented: “Cities and regions have been a partner of choice for the EU Bank for more than 60 years. As they face new challenges such as growing urbanization and climate change, the EIB is fully committed to support investments that make our cities and regions thrive.By2025, the EIB aims to allocate at least 50% of its financing activities for projects that support climateaction and environmental sustainability and a significant share of this will be implemented in cities.”
Karl-Heinz Lambertz, President of the European Committee of the Regions, said: “The CoR and the EIB Group share the objective of delivering economic growth and job creation across the EU's Regions and Cities. Continuing our successful cooperation, and reaffirming the good working relations between the CoR and the EIB Group, the 2019 renewed Action Plan will contribute to support high-quality projects that benefit citizens and businesses alike and leaves no region behind.”
At the European Week of Regions and Cities, the EIB will organize a number of sessions to present its toolkit for municipalities and regional governments. This includes framework loans (flexible loans that cover several small projects), investment loans, equity investments or advisory services such as URBIS, a new dedicated urban investment advisory platform. The EIB has also developed an unique expertise to help cities and regions establish financial instruments with EU grants from structural funds.
To reduce regional economic imbalances and raise living standards across the EU, the EIB dedicates at least 30% of all new operations in the EU and pre-Accession countries to cohesion projects. During the last 5 years (2014-2018), the EIB has provided EUR 88 billion to projects in EU cohesion regions. For 2018, this amounted to EUR 14.25 billion.
To find out how much the EIB has invested in your region in 2018 click here
The EIB today announced the signature of a €250 million financing agreement with in’li, the Action Logement Group’s subsidiary focused on affordable housing in Île-de-France. This maiden operation between the EIB and in’li is an important step in speeding up the construction of affordable housing in the region.
The EIB is providing the state-owned housing company Gewobag with a 240-million-euro loan, which is earmarked for the construction of 2,000 new residential units by 2023. The new buildings will predominantly meet “energy-efficient house” standards and therefore surpass the requirements of the applicable energy saving regulation (EnEV).
At the UN Climate Change COP25, five frontrunner cities have been selected for their ambitious and potentially transformative urban climate projects that could receive technical support from the EIB to get their projects off the ground. The projects focus on critical urban climate action including improving waste management, cutting river and ocean pollution, sustainable urban transport, greening urban spaces and enhancing urban resilience to the effects of climate change.