The European Commission and the European Investment Bank (EIB) have unveiled a groundbreaking €5 billion flexible guarantee designed to unlock up to €10 billion in global investments aligned with ESG goals and carbon neutral strategies. Announced during the 4th International Conference on Financing for Development, the initiative supports clean energy, green infrastructure, and SME financing in key partner regions outside the EU. 

For the first time, the guarantee extends to non-state-backed entities, enabling faster and more flexible financing for companies and public bodies that independently access capital markets. This shift is expected to accelerate funding for high-impact projects traditionally considered too risky for conventional lenders, while maintaining affordable borrowing terms for developing nations. 

Key investment regions include North Africa, the Middle East, Eastern Neighbourhood countries, Central Asia, and Latin America, aligned with the EU’s Global Gateway strategy. Projects under consideration span renewable energy infrastructure, telecom upgrades, and municipal development in EU enlargement zones, furthering the EU’s climate and economic resilience agenda. 

The flexible guarantee mechanism is also poised to support strategic ESG-linked initiatives such as the Transcaspian Corridor and critical raw material supply chains—both vital to Europe’s green transition and energy security. 

By broadening eligibility and reducing financial risk, the new tool significantly advances the EU’s global ESG financing footprint. It also reinforces the bloc’s leadership in driving a sustainable, inclusive, and carbon-neutral global economy, helping partner nations meet their environmental and development goals while deepening EU geopolitical ties. 

Sumber: 

https://esgnews.com/eu-eib-unveil-e5-billion-flexible-guarantee-to-unlock-global-green-and-sme-investments/