News
CEB establishes Green Social Investment Fund
20 March 2020
PARIS - The CEB has set up a new facility to strengthen further the social impact of CEB investments and reinforce their environmental sustainability, the “CEB Green Social Investment Fund” (GSIF). The Fund aims to facilitate climate action measures for the benefit of vulnerable groups. Specifically, the GSIF will support projects which demonstrate a positive social impact and a contribution to climate action.
Financing projects which involve
climate mitigation and adaptation measures is not new for the CEB. The Bank has
a rich portfolio of projects supporting energy efficiency, clean mobility,
renewable energy, flood protection, and water management across Europe. The
GSIF will be a source of additional funding, aimed at incentivising CEB borrowers
to step up climate mitigation and adaptation measures while also supporting and
protecting vulnerable groups.
GSIF resources will be used to complement CEB loans with grants, including for technical assistance. Projects in all CEB member countries will be eligible for GSIF funding but preference will be given to those in CEB target countries.
“Climate change has, and will continue to have, a negative impact on the health, safety and economic conditions of all segments of society, with vulnerable groups most affected,” said CEB Governor Rolf Wenzel. “As the social development bank in Europe, the CEB has an important role to play in ensuring that climate action programmes maximise social outcomes and that climate action measures form an important part of social projects.”
“By establishing the Green Social Investment Fund, the CEB is further strengthening its contribution to global efforts aimed at speeding up the transition towards low-carbon and climate-resilient development,” concluded Governor Wenzel.Set up in 1956, the CEB (Council of Europe Development Bank) has 41 member states. Twenty-two Central, Eastern and South Eastern European countries, forming the Bank's target countries, are listed among the member states. As a major instrument of the policy of solidarity in Europe, the Bank finances social projects by making available resources raised in conditions reflecting the quality of its rating (AA+ with Fitch Ratings, outlook positive, AAA with Standard & Poor's, outlook stable and Aa1 with Moody's, outlook stable). It thus grants loans to its member states, and to financial institutions and local authorities in its member states for the financing of projects in the social sector, in accordance with its Articles of Agreement.