The European Union and the European Investment Bank announce a new partnership that will use resources from the Caribbean Investment Facility (CIF) to accelerate the identification, preparation and implementation of critical water, sanitation and clean ocean projects in the Caribbean;
The new funding will unlock a Technical Assistance programme to overcome and help resolve human resource capacity gaps, and Investment Grants to increase environmental, social and gender impacts of the investments;
The water project contributes to the achievement of a number of Sustainable Development Goals and to building the Caribbean’s resilience to pandemics such as Covid-19.
The support will include a Technical Assistance component of EUR 8.5m for project identification, preparation, appraisal, implementation and monitoring. This Technical Assistance package will also target better environmental and social standards, gender equality, and climate resilience.
The other element of the CIF support is an Investment Grant of EUR 8m willsupport the affordability of investments, in order to increase the climate resilience, social and environmental impact of the projects. These will notably include gender impact, improvement of energy efficiency, leakage reduction, resilient water supply systems in low-income communities, protection of biodiversity and sensitive ecological areas like mangroves or coral reefs.
EIB Vice President, Ricardo Mourinho Félix said: “The Caribbean Investment Facility (CIF) drives investment in projects, to support economic development, regional integration, poverty reduction and ocean preservation. This new step at the European Development Days captures the spirit of Team Europe in bringing joint resources to spur investment in the Caribbean. Pooling together grant resources and private investment is crucial to enable project delivery.”
Jutta Urpilainen, Commissioner for International Partnerships, said: “Sustainable water management and sanitation is a key element of clean and green transitions needed all over the world. During my mission last week to the region, we have started rolling out Global Gateway, the EU’s strategy for investments in sustainable and high-quality infrastructure, in Latin America and the Caribbean. The European Investment Bank is a key strategic partner as part of this effort. The partnership announced today for a new investment facility resources for urgent Water, Sanitation and Clean Ocean projects in the Caribbean will go a long away to implement Global Gateway with concrete projects, contributing to sustainable economic growth and human development.
International cooperation and development goals
The objectives of this initiative closely match the EU regional strategic objectives for the 2021- 2027 Regional Multi-annual Indicative Plan (MIP) for the Latin America and Caribbean (LAC) region. Specifically for the Caribbean Window, the programme would help meeting the policy objectives of the “Caribbean-EU Partnership for a Green Deal”, including better water resources conservation; waste management; biodiversity; and disaster risk reduction.
The operation will support a number of UN Sustainable Development Goals related to poverty reduction, good health, clean water and sanitation, climate action and life below water.
The EIB in the Caribbean
The EIB provides economic support for projects in the Caribbean by facilitating long-term investment with favourable conditions and by providing the technical support needed to ensure that these projects deliver positive social, economic and environmental results. The EIB has been working in the Caribbean since 1978, granting almost €2 billion in financing for 221 operations.
As the EU’s climate bank, the EIB committed to support EUR 1 trillion of climate action and environmental sustainability investments in the next decade. Under its Blue Sustainable Ocean Strategy, the EIB supports investments that will contribute to improve the health of the oceans and their resources.
EIB Global is the EIB Group’s new specialised arm dedicated to increasing the impact of international partnerships and development finance. EIB Global is designed to foster strong, focused partnership within Team Europe, alongside fellow development finance institutions, and civil society. EIB Global brings the Group closer to local people, companies and institutions through our offices across the world.
The European Investment Bank is partnering with the European Commission to improve water and sanitation networks in the Caribbean. The EIB’s EUR 150 million programme loan will help to improve climate resilience and contribute to healthy oceans through new investments in security of water supply, wastewater treatment, solid waste and storm-water management across the region. The loan approval was announced at the UN Ocean Conference in Lisbon.
Vice President of the European Investment Bank, Ricardo Mourinho Félix, will lead a high-level delegation, alongside the Ambassador of the European Union to Barbados, the Eastern Caribbean States, the OECS and CARICOM/CARIFORUM, Małgorzata Wasilewska, during his first visit to the Caribbean as Vice President responsible for the region.
Caribbean small island states will benefit from new funding and technical assistance for initiatives that reduce the negative impact of climate change and decrease greenhouse gas emissions. The European Investment Bank will provide USD 65m for a dedicated Climate Action lending programme through the Caribbean Development Bank (CDB) in 18 countries.