EBRD achieves historic investment levels in Latvia, Lithuania, and Estonia while deepening regional capital markets

EBRD achieves historic investment levels in Latvia, Lithuania, and Estonia while deepening regional capital markets

(IN BRIEF) The EBRD invested a record €654 million in the Baltic states in 2025, driven by unprecedented levels of financing in Latvia and Lithuania and continued strong performance in Estonia, with more than 95 per cent of funds supporting energy security and decarbonisation projects. Key investments included large-scale wind, solar, battery storage, and electric vehicle infrastructure, alongside significant efforts to deepen Baltic capital markets through policy reform and innovative financing instruments. The results highlight the growing sophistication of Baltic economies and reinforce the EBRD’s commitment to supporting climate investments, private sector growth, and regional resilience in 2026 and beyond.

(PRESS RELEASE) LONDON, 4-Feb-2026 — /EuropaWire/ — The European Bank for Reconstruction and Development (EBRD) achieved its highest-ever level of investment in the Baltic states in 2025, committing €654 million across Estonia, Latvia, and Lithuania. This total exceeded the previous record of €540 million set in 2024 and reflected particularly strong activity in Latvia and Lithuania, alongside continued solid performance in Estonia.

In Estonia, the EBRD provided €155 million in financing across 14 projects, with a focus on clean electricity generation, modernisation of energy grids, and the development of digital infrastructure. In Latvia, annual investment reached an unprecedented €160 million across 13 projects, marking the Bank’s largest financial engagement in the country to date. Lithuania saw even greater momentum, with €339 million invested in 17 projects, significantly surpassing its prior peak of €233 million.

More than 95 per cent of the EBRD’s total financing in the region was directed towards initiatives that support energy security and accelerate decarbonisation. This included investments in renewable energy generation and storage, the expansion of electric vehicle charging networks, and measures to improve resource efficiency across industries.

Among the most notable transactions were a €79.5 million investment in the Kelme Wind Park in Lithuania, the largest onshore wind farm in the Baltic region; a €35.2 million loan to Sunly to develop four hybrid solar parks in Latvia; a €27 million investment in a standalone battery energy storage facility near Tallinn; and €60 million in financing for Ignitis to deploy 600 electric vehicle charging stations across the three Baltic states.

Beyond direct project financing, the EBRD also played a key role in strengthening regional capital markets. The Bank supported policy reforms and financial innovation aimed at broadening access to alternative funding sources for Baltic companies. Its engagement contributed to the creation of the Baltic Capital Markets Acceleration Fund, which helps small and medium-sized enterprises prepare for equity listings and bond issuances. In Lithuania, the EBRD also participated in the region’s first green securitisation by committing €50 million to ILTE’s €112 million bond issuance backed by energy efficiency loans.

In Estonia, the Bank supported reforms to the Securities Market Act, which have now been approved by parliament. These changes are expected to enhance the country’s investment environment, stimulate capital market activity, and increase the attractiveness of Estonian companies and financial institutions to international investors.

Tomas Kairys, Head of the EBRD’s Baltic operations, highlighted that the record level of investment reflects the increasing maturity and dynamism of Baltic businesses. He noted that with the EBRD Annual Meeting taking place in Riga in 2026, the results underline the region’s resilience and growth potential. The Bank intends to continue supporting climate-related investments, expanding financing tools, and providing both debt and equity solutions to help companies innovate, scale, and expand internationally.

Since the start of its operations in the region, the EBRD has invested over €1.3 billion in Estonia across 133 projects, more than €1.2 billion in Latvia through 125 projects, and over €2.1 billion in Lithuania via 155 projects.

Across all its countries of operation, the EBRD invested a record €16.8 billion in 2025, with 75 per cent directed to the private sector and €9.4 billion allocated to projects supporting the green transition.

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SOURCE: EBRD