The European Bank for Reconstruction and Development (EBRD) has launched a new initiative titled “Greening financial systems: delivering climate finance for all.” This ambitious program, with an expected US$ 634 million in green financing, aims to make climate finance more accessible and affordable. It will be implemented across 13 countries in the EBRD’s regions: Armenia, Egypt, Georgia, Jordan, Kazakhstan, the Kyrgyz Republic, Moldova, Mongolia, Morocco, North Macedonia, Serbia, Tajikistan, and Uzbekistan.
This initiative is the result of a significant partnership between the EBRD and its long-standing donor, the Green Climate Fund (GCF). The GCF has committed a US$ 200 million contribution, which includes concessional loans, technical assistance, and incentive grants. The funds will be channeled through partner financial institutions to support various green investments, such as energy efficiency, renewable energy, sustainable construction, and climate-resilient technologies. The program is designed to benefit a broad range of clients, including households, small businesses, municipalities, and corporations, ensuring climate finance reaches a wide audience.
A Transformative Approach to Green Lending
Building on the success of the US$ 1.4 billion “Green Economy Financing Facility” (GEFF), the new program seeks to create a transformative market shift toward green finance. A key component of this initiative is building the capacity of financial institutions. Partner banks will receive concessional funding, training, and climate-risk tools to help them unlock new green lending opportunities. This will enable them to independently offer green finance products and fully integrate climate finance into their business models. To further encourage systemic change, the program will provide financial incentives to institutions that commit to developing climate transition plans aligned with the Paris Agreement.
Promoting Regional and Gender Inclusion
The program also places a strong emphasis on regional and gender inclusion. To ensure a broad and equitable distribution of funds, at least 30% of the subloans will be directed to areas outside of capital cities. Furthermore, a minimum of 20% of the financing is earmarked for projects led by women. This dual focus aims to promote balanced regional development and empower female entrepreneurs in the transition to a green economy. The EBRD and GCF’s collaboration has a proven track record, having mobilized over US$ 5.2 billion in climate finance since 2017 to support transformative projects across three continents.
Optimized Excerpt
The European Bank for Reconstruction and Development (EBRD) launches a new program expected to achieve US$ 634 million in green financing across 13 countries, in a new partnership with the Green Climate Fund (GCF). The initiative, titled “Greening financial systems: delivering climate finance for all,” will deploy concessional finance and advisory services to support green investments.
