The European Bank for Reconstruction and Development (EBRD) announced that it has handed the National Bank of Kuwait Egypt (NBKE) a $25 million loan for the sake of boosting renewable energy and energy efficiency in Egypt.
The loan is extended under the EBRD’s Green Economy Financing Facility (GEFF), which provides financing and advice to private-sector businesses to support Egypt’s green economy transition, with a financing pool of €150 million for energy-efficiency and renewable energy investments, the EBRD explained.
15 percent of the total loan amount is co-financed by the Green Climate Fund (GCF), according to the EBRD.
It also clarified that the European Union (EU) will support the financing to NBKE with up to €2.5 million of EU funds for incentive payments to projects that are successfully implemented and verified.
The EU will provide a comprehensive technical assistance package amounts to €6.2 million for all participating financial institutions and their clients as well, and for policy dialogue.
The loan is meant for small and medium-size enterprises (SMEs) and households in the country in order to finance investments to alleviate the impacts of climate change, according to the EBRD.