Croatia: EIB to support implementation of European Green Deal
20 October 2021
The EIB unveils financing and advisory services available to Croatia’s public and private sector in the implementation of the European Green Deal.
The EU bank is keen to increase its lending activities to support digitalisation, innovation, e-mobility, energy efficiency, climate change mitigation and adaptation and sustainable infrastructure.
It will help Croatia benefit from opportunities unlocked by the European Green Deal and EU climate ambitions.
The European Green Deal is key to EU plans to become carbon neutral by 2050 and curb the devastating rise in global temperatures.
The European Investment Bank (EIB), the climate bank of the European Union, will help Croatia contribute to EU climate ambitions and benefit from the opportunities unlocked by the European Green Deal by increasing financial and advisory support for project preparation for the Croatian government and the country’s public and private sector.
EIB Vice-President Teresa Czerwińska unveiled the EIB support mechanisms available during the Potential of the European Green Deal Conference in Zagreb, which was organised by the EIB, the Representation of the European Commission in Croatia, Jutarnji list daily and Hanza Media.
The EIB is keen to increase its lending activities in Croatia to support digitalisation, innovation, e-mobility, energy efficiency, climate change mitigation and adaptation, and the development of sustainable infrastructure, and to help Croatia close any potential funding gaps during the implementation of the European Green Deal.
The Green Deal will enable the European Union to transform into a modern, resource-efficient and competitive economy, and ensure no net emissions of greenhouse gases by 2050, economic growth decoupled from resource use, and a just and fair transition for all EU regions, especially those that are heavily dependent on fossil fuels, such as the Istria and Sisak-Moslavina counties in Croatia.
EIB Vice-President Teresa Czerwińska said: “The European Green Deal is a historic opportunity for Croatia to speed up COVID-19 recovery, attract multi-billion euro investments in all key sectors of the national economy, accelerate its development and growth, modernise, and continue to prosper. It will also boost job creation and offer a better future for Croatian people and businesses alike. The Green Deal introduces a substantial support package for the transformation of the European Union into a carbon-neutral, green, digital and innovative economy. The EIB is on hand to provide financing and technical advisory support to ensure Croatia can both contribute to and benefit from the Green Deal. We are ready to provide finance, blend EU grants with our financing, and offer technical assistance to the public and private sector for project preparation.”
Multi-billion euro investment opportunities for Croatia
The European Green Deal is embedded in key EU financial mechanisms — its seven-year budget (Multiannual Financial Framework) as well as the NextGenerationEU recovery initiative, from which almost every third euro will need to be invested in projects supporting the green transition — thus combining the two major global economic challenges of today and ensuring they fuel and support each other as two complementary processes.
EIB to help Croatia benefit from multi-billion euro investment opportunities
The EIB delegation at the conference unveiled the multi-billion euro investment opportunities stemming from the Green Deal and EIB plans to continue supporting climate action and the green transition towards a carbon-neutral economy in Croatia. The EIB team presented a comprehensive overview of the financing opportunities available, including a wide range of new products, advisory services and financing opportunities that the Bank has put together for climate action in the European Union.
EIB Vice-President Czerwińska added: “The smooth implementation of the European Green Deal requires close cooperation and coordination between the European Union, the Croatian government and the public and private sector. With a mix of more accessible finance, EU grants and technical assistance, we can ensure Croatia is able to do its part and contribute towards achieving the European Union’s ambitious climate goals, and at the same time reap the numerous economic and social benefits that come with it.”
More cooperation between EIB and Croatia to accelerate green transformation and COVID-19 recovery
During the visit to Croatia, the first since the beginning of the pandemic, Vice-President Czerwińska met the Prime Minister of the Republic of Croatia Andrej Plenković, the Minister of Finance Zdravko Marić, the Minister of Economy and Sustainable Development Tomislav Ćorić, representatives of the Ministry of Regional Development and EU Funds, and the Head of the European Commission Representation in Croatia Ognian Zlatev. Vice-President Czerwińska also met Tamara Perko, the President of the Management Board of the Croatian Bank for Reconstruction and Development (HBOR), and visited Rimac Automobili, Croatia’s global pioneer in e-mobility solutions, financed by the EIB.
Earlier this year, the EIB and the Croatian government enhanced cooperation on the development and financing of key energy and climate-related projects in Croatia. The two sides agreed to develop joint operations in sectors and areas such as renewable electricity generation and transmission distribution infrastructure; clean energy and energy efficiency measures, renovations and conversions of buildings; and green mobility; and to support the transformation of the Croatian economy into a circular economy.
In 2020 alone, the EIB Group provided €530 million in loans, equity and guarantees to clients in Croatia, supporting the faster recovery of the Croatian economy from COVID-19.
About the EIB in Croatia:
To date, the EIB has supported the economic and social development of Croatia by investing €6.71 billion in operations covering the most important sectors of the country’s economy, including transport, the environment, energy infrastructure, manufacturing and services. Another key component of EIB activities in Croatia is support for small and medium-sized enterprises (SMEs) and mid-caps through the creation of long-term financing options in cooperation with local financial institutions. The EIB has supported Croatian SMEs by unlocking new sources of finance worth close to €3.75 billion.
The European Investment Bank (EIB) and the Ministry of Economy and Sustainable Development of the Republic of Croatia have agreed to expand cooperation on the development and financing of key energy, sustainability and climate-related projects in the country.
The European Investment Bank (EIB), European Commission (EC) and the Ministry of Economy and Sustainable Development of the Republic of Croatia met representatives of Croatia`s energy sector for a two-day “Energy Finance Seminar” and introduced the multi-billion investment opportunities and support mechanism created by the EU-wide climate action and transition towards a carbon neutral, renewable and green energy market.
The EIB Group backed economic and social growth and the development of vital infrastructure in Croatia in 2018 with EUR 507m. The transport, energy and social sectors and composite infrastructure were among the key drivers of the EIB Group’s activities in Croatia. For the same period, the European Investment Fund (EIF) invested EUR 63 million in 262 Croatian small- and medium-enterprises and mid-caps sustaining 3372 jobs in the process.