The European Investment Bank (EIB) has committed EUR800m (USD896m) in financing for a range of projects aimed at tackling climate change in Argentina, Brazil, and Chile, as reported by ESG Today on July 18. The financing program will provide an EUR200m loan to Chile’s state bank to finance the development of new housing units with improved energy efficiency standards, and EUR100m to support Chile’s renewable hydrogen industry. Furthermore, the scheme will also offer a EUR300m loan to Banco Santander Brasil, Brazil’s major bank, to fund the installation of small-scale self-consumption solar photovoltaic plants on residential homes and smaller businesses.
The financing program is part of the EU’s Global Gateway initiative, which aims to mobilize up to EUR300bn of investment from EU institutions and member states between 2021 and 2027 to support sustainable and high-quality projects. The initiative seeks to address the most pressing global challenges, including tackling climate change, improving health systems, and enhancing the resilience of global supply chains. To achieve these targets, it focuses on sustainable investments in digital, climate and energy, transport, health, education, and research. According to the EIB, in the energy sector, projects eligible for the financing scheme will be initiatives and developments in the green hydrogen industry, upgrades to the electricity transmission network, renewable energy, energy efficiency projects, bio-economy schemes, and residential solar photovoltaic installations.