Environmental and Social Safeguards Policy

What is new in the updated ESSP?

The Council of Europe Development Bank (CEB)’s Environmental and Social Safeguards Policy (ESSP) was updated in 2026, following a review of operational experience and developments in international practice.

The revised Policy maintains the overarching objectives and framework of the 2016 version, while introducing targeted clarifications and refinements in a number of areas. The main updates relate to:

• climate considerations and Paris Agreement alignment
• risk categorisation and the application of the existing Environmental and Social Standards
• environmental and social appraisal requirements
• monitoring, corrective actions and non-compliance; and
• accountability and complaints procedures.

The updated ESSP applies to projects approved by the CEB from 1 November 2026.

The CEB is committed to promoting socially responsible and environmentally sustainable development through its financing activities. The Environmental and Social Safeguards Policy (ESSP) sets out the principles, requirements and processes through which the Bank identifies, assesses and manages the environmental, social and climate-related risks and impacts associated with the investment projects it finances. It also defines the Bank's expectations for counterparties and project promoters in managing these environmental and social risks and impacts.

The ESSP provides the framework through which environmental, social and climate-related considerations are integrated into the CEB's financing activities and is supported by a set of Environmental and Social Standards that establish more detailed requirements in specific areas.

The Policy reflects the Bank's commitment to promoting sustainable development while ensuring that environmental, social and climate-related risks and impacts are identified, assessed and managed in a manner proportionate to the nature and scale of the activities being financed.

Disclosure of environmental and social information

As set out in the ESSP, the CEB promotes transparency regarding the environmental and social aspects of the projects it finances. The Bank expects borrowers and project promoters to facilitate access to relevant environmental and social information in accordance with applicable legal requirements and international good practice, including the principles reflected in the Aarhus Convention where relevant.

For projects involving significant environmental and/or social risks, the Bank may make available environmental and social information to support transparency and stakeholder engagement. Such disclosures may include non-technical summaries and other relevant documentation, in accordance with the requirements of the ESSP and applicable disclosure arrangements.

For multi-project loan facilities, responsibility for the disclosure of project-level environmental and social information may rest with the intermediary institution or project promoter, in accordance with the arrangements applicable to the operation concerned. Where appropriate, the Bank may provide links to external sources where such information is available.

Policy development and review

The ESSP is periodically reviewed to reflect the Bank’s operational experience and developments in international practice. The current version of the Policy was adopted in 2026, following a review process informed by benchmarking exercises, stakeholder feedback and lessons learned from the implementation of the 2016 Policy.

As part of the revision process, the CEB conducted a public consultation on the draft ESSP and accompanying Environmental and Social Standards between 1 December 2025 and 30 January 2026.

The European Principles for the Environment (EPE)

The CEB is a signatory of the Declaration of European Principles for the Environment (EPE). This declaration associates the European Commission and several international financial institutions in a common commitment to environmental protection and sustainable development. It reflects a shared objective of supporting the implementation of European environmental legislation and international environmental commitments. The EPE provide an important reference framework for the Bank's approach to environmental sustainability.

Projects and/or multi-project loan facilities for public disclosure:

None at present.