ECOWAS Bank, European Investment Bank mobilise €300m for clean energy projects
The ECOWAS Bank for Investment and Development (EBID), and the European Investment Bank (EIB), with the support of the European Union (EU), have entered into a partnership to mobilize €300 million credit line to support projects that promote clean energy within the ECOWAS region.
Resultantly, the institutions have announced a €100 million financial partnership in the first instance to support climate action and environmental sustainability projects in the region.
The EUR 100 million credit line signed under a EUR 150 million envelope is the EIB’s first operation with the EBID.
The facility supports economic development, climate action, and environmental sustainability in the ECOWAS region, which fills the financing gap in these areas and contributes to sustainable livelihoods and poverty reduction. This facility affirms joint EBID and EIB targeted support for sustainable investments across the ECOWAS region, with particular support for sectors contributing to climate mitigation.
The projects that will be financed by this operation target particularly renewable energy including small and medium-sized photovoltaic projects, sustainable agriculture, and water treatment.
This project, which targets total investments of at least EUR 300 million, is in line with the strategic priorities of the ECOWAS region and is part of the European Union strategy in Africa under the Africa-European Union Green Energy Initiative as well as the Global Gateway strategy, a model for how Europe can build more resilient connections with the world.
It also responds to the ECOWAS Vision 2050 ambitions linked to the environment, economic growth, private sector development, and regional integration as well as the ECOWAS Regional Climate Strategy and the Action Plan for 2022- 2030.
It contributes to various Sustainable Development Goals (SDGs), such as sustainable agriculture, health and quality education, clean water and sanitation, and affordable and clean energy.
“We appreciate this line of credit as an initiative of the European Investment Bank to help ECOWAS countries increase their growth and sustainable development,” said EBID Vice President Risk and Control, Dr Mory Soumahoro.
“This partnership demonstrates EBID’s commitment to supporting regional member countries’ access to sustainable sources of finance.
“I am very delighted to sign this first operation with the EBID to support economic development, climate action, and environmental sustainability in the ECOWAS region. It will help to bridge the financial gap in this region while contributing to reducing poverty and ameliorating daily lives,” said EIB Vice-President, Ambroise Fayolle.
“By contributing financially to this project, the EIB demonstrates its commitment to regional integration and developed infrastructure for the benefit of local populations. Through EIB Global, our branch dedicated to development, we aim to support the EU’s Global Gateway initiative and key sectors in the region such as innovation, digital economy, renewable energy, water, agriculture and transport.”
Jozef Síkela, European Commissioner for International Partnerships, said: “More than half a billion people in Africa still lack access to electricity. Our longstanding goal is to change that. The partnership between the ECOWAS Bank for Investment and Development and the European Investment Bank is a clear demonstration of our commitment to supporting sustainable development and climate action in Africa.
“By mobilising €300 million for projects that promote clean energy, we are empowering people in the ECOWAS region to build a greener and more prosperous future.”
