In Belgium, three loan and grant agreements totaling EUR 407 million were signed by Bangladesh, the European Investment Bank (EIB), and the European Commission (EC) to promote the country’s renewable energy sector.
At the European Commission Headquarters in Brussels, the Belgian capital, agreements were signed in the presence of EIB President Werner Hoyer, EC President Ursula von der Leyen, and Bangladeshi Prime Minister Sheikh Hasina.
Bangladesh and the European Investment Bank (EIB) inked the first “Bangladesh Renewable Energy Facility” agreement, which provides a framework loan of up to EUR 350 million, guaranteed by the EU, to support climate action investments in Bangladesh.
The second one, which was signed by the EIB and the EC, involved an EU blending grant of EUR 45 million. It included an investment grant of EUR 39 million and EUR 6 million in technical assistance to guarantee that all sub-projects adhere to EIB environmental and social standards and international market practices. The purpose of the investment grant was to bring in concessional lending tools to support the first renewable energy utility scales projects in Bangladesh.
In order to support an inclusive green energy transition, the European Commission and Bangladesh signed the third agreement, known as the “Partnership for Green Energy Transition,” which cost EUR 12 million and was partially funded by Germany. The agreement’s objectives are to work on policy, the legal framework, and the investment climate.
At the signing event were Deputy Managing Director Markus Berndt of the EIB (GLO), Secretary of the Economic Relations Division Sharifa Khan, and Director General (DG) of International Partnerships of the European Commission Koen Doens.
