NWB Bank and EIB Sign €400 Million Agreement to Boost Dutch Water Infrastructure

NWB Bank and EIB Sign €400 Million Agreement to Boost Dutch Water Infrastructure

(IN BRIEF) The Nederlandse Waterschapsbank (NWB Bank) and the European Investment Bank (EIB) have joined forces in a €400 million loan agreement aimed at enhancing flood protection and water quality in the Netherlands. Under this partnership, NWB Bank will lend to Dutch water authorities, focusing on small-scale projects related to flood protection, wastewater treatment, and water level management. The investment is expected to fortify the country’s resilience against high water levels and climate change while also fostering biodiversity and improving local water quality. This collaboration aligns with the Dutch Delta Plan for Biodiversity Restoration, emphasizing sustainability and ecological preservation alongside infrastructure development.

(PRESS RELEASE) LUXEMBOURG, 15-Feb-2024 — /EuropaWire/ — The European Investment Bank (EIB) and the Nederlandse Waterschapsbank (NWB Bank) have signed a €200 million loan agreement to improve flood protection and water quality in the Netherlands. Under its mandate, the EIB can lend up to 50% of the total amount to any single project, with NWB Bank providing the other half. This means that a total of €400 million will be made available for local investment schemes by Dutch water authorities.

NWB Bank will channel the financing to Dutch water authorities to finance small-scale projects primarily focusing on flood protection, wastewater treatment and water level management, for example via improvements to locks and sluices. Under the agreement, the EIB and NWB Bank have agreed on an option to increase the loan size to €400 million, potentially resulting in available funds of €800 million.

CEO of NWB Lidwin van Velden said: “The Dutch water authorities set the tone when it comes to climate adaptation and mitigation, as well as biodiversity. They are also frontrunners in limiting their own use of energy and sustainably producing it. By providing financing under attractive conditions, we bring the sustainability goals one step closer.”

The projects are expected to better protect the Netherlands from high water, but also to improve preparedness for the adverse effects of climate change, such as more frequent and prolonged droughts, because water levels can be managed more effectively. Furthermore, improvements to local wastewater treatment are expected to have benefits for public health. The planned interventions will also contribute to local employment during their construction or implementation period.

“Water management is crucial for the Netherlands in overcoming the challenges of climate change.” said EIB Vice-President Robert de Groot. “As Europe’s climate bank, partnering with the NWB who expertly serves Dutch water authorities is a natural step for the EIB in the field of climate adaptation.”

The projects to be implemented by local water authorities will feed into the Dutch Delta Plan for Biodiversity Restoration (Deltaplan Biodiversiteitsherstel), which aims to strengthen biodiversity in the Netherlands by providing good conditions for flora and fauna living in and around the water, as well as high water quality for agriculture, (sport) fishing, recreational boating and swimming. Examples include the creation of nature-friendly banks, the re-meandering of watercourses, the restoration of streams, the construction of fish passages and the ecological implementation of maintenance measures.

Background information

EIB

The European Investment Bank (ElB) finances sound investments that contribute to EU policy objectives. EIB projects bolster competitiveness, drive innovation, promote sustainable development, enhance social and territorial cohesion, and support a just and swift transition to climate neutrality.

The EIB Group, which also includes the European Investment Fund (EIF), signed a total of €88 billion in new financing for over 900 projects in 2023. These commitments are expected to mobilise around €320 billion in investment, supporting 400 000 companies and 5.4 million jobs.

All projects financed by the EIB Group are in line with the Paris Climate Accord. The EIB Group does not fund investments in fossil fuels. We are on track to deliver on our commitment to support  €1 trillion in climate and environmental sustainability investment in the decade to 2030 as pledged in our Climate Bank Roadmap. Over half of the EIB Group’s annual financing supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment.

Approximately half of the EIB’s financing within the European Union is directed towards cohesion regions, where per capita income is lower. This underscores the Bank’s commitment to fostering inclusive growth and the convergence of living standards.

Nederlandse Waterschapsbank N.V. (NWB Bank) is a national promotional bank whose shares have been held by Dutch public authorities since it was founded in 1954. The bank primarily serves local and regional authorities (water authorities, municipalities and provinces), as well as institutions that are government guaranteed, such as housing associations and health care institutions. The bank is also active in the field of public-private partnerships and sustainable energy projects. NWB Bank provides its clients with the required financing on the most favourable terms, tailored specifically to the individual client and with a special focus on sustainability. NWB Bank funds its activities on the international capital markets on the back of its AAA/Aaa ratings and is a leading issuer of green and social bonds. As a significant bank, NWB Bank is supervised by the European Central Bank (ECB).

Media Contact:

Tim Smit
t.smit@eib.org
+352 4379 – 89076

Press Office

press@eib.org
+352 43791

SOURCE: European Investment Bank