BNPP LATAM GLOBAL GATEWAY CLIMATE RISK SHARING

Promoter – Financial Intermediary

BNP PARIBAS

Location

• Regional - Latin America

Description

The funded delinked risk sharing operation refers to an existing portfolio of project finance loans in the renewable energy, transport and infrastructure sectors. Through the operation, the intermediary will be able to provide additional loans to finance eligible Global Gateway projects across Latin America with a focus on renewable energy (Solar photovoltaic, onshore wind and battery projects) as well as transmission lines.

Objectives

The operation sets up an EIB-BNPP cooperation to provide new loans to support large-scale private sector projects in Latin America, aligned with the Global Gateway Investment Agenda. The aim is to contribute to improve availability of financial resources for renewable energy and transmission lines in the region. The operation is in line with the EIB priorities on sustainable energy, energy security and climate change, according to the Climate Bank Roadmap.

Sector(s)

• Energy - Electricity, gas, steam and air conditioning supply

Proposed EIB finance (Approximate amount)

USD 160 million (EUR 143 million)

Total cost (Approximate amount)

USD 320 million (EUR 287 million)

Environmental aspects

The Bank will require BNPP to have in place the necessary procedures to ensure that Final Beneficiaries implement the sub-projects receiving Bank financing in compliance with national legislation and the relevant ElB's Environmental and Social Standards as well as international treaties and conventions signed and ratified by or otherwise applicable and binding in the country. The project will be appraised and monitored in line with the Bank's policies, including the Environmental and Social Sustainability Framework.

Procurement

The Bank will require the promoter to ensure that implementation of the project will be done in accordance with the Bank's Guide to Procurement.

Status

Under appraisal - 16/07/2024