The EIB invested another €250 million in the National Bank of Greece (NBG) in order to promote green investments in small and medium-sized enterprises and Mid-Caps in Greece. This new funding raises the total amount disbursed through the EIB climate investment facility to €1 billion.
EIB’s initiative supports Greek SMEs and Mid-Caps with the advantage of paying a less-interest rate when acquiring loans to such SMEs and Mid-Caps to invest in green projects. In the last three years, starting 2020, several agreements have been signed by EIB with some Greek banks as Piraeus Bank.
Milestone in Greece’s Green Transition
This €250 million loan is part of the EIB’s 2020 programme to stimulate green investments made by Greece’s SMEs and Mid-Caps. Since it is open to all eligible banks, NBG and Piraeus Bank have already participated successfully. The latest agreement brings NBG’s total involvement in the programme to €800 million.
Pavlos Mylonas, CEO of NBG, highlighted the bank’s significant role in the initiative, stating, “NBG has absorbed 80% of the €1 billion total program financing illustrating our ongoing commitment to support Greek SMEs and Midcaps, while allowing us to further grow our green projects’ portfolio.”
A Boost for Greece’s Green Economy
EIB’s green financing program supports the businesses engaged in climate action and environmental sustainability. The investment is into renewable energy, energy efficiency, and other green projects, which is beneficial to all sectors of business.Additionally, the programme promotes youth employment and gender equality in the workplace.
To date, more than 350 Greek businesses have benefited from the EIB’s support, with total financing for green projects in Greece expected to reach €2 billion, as the EIB requires recipient banks to match its funding.
Also read: EIB and Societe Generale Unveil €8 Billion Wind Energy Investment Initiative
Strengthening Long-Term Collaboration Between EIB and NBG
Over the past five years, the EIB and NBG have partnered on key priorities like SME competitiveness, agriculture, and climate action. Since then, the EIB and NBG have completed over €2 billion in transactions, with €3.8 billion supporting Greek SMEs.