EIB and Malta Development Bank Join Forces to Drive Green Transition for Small and Medium-Sized Enterprises

EIB and Malta Development Bank Join Forces to Drive Green Transition for Small and Medium-Sized Enterprises

(IN BRIEF) The European Investment Bank (EIB) and Malta Development Bank (MDB) have formed a partnership aimed at accelerating the green transformation of small and medium-sized companies (SMEs) and public sector entities in Malta. Under this collaboration, the EIB is providing a €30 million loan to MDB, enabling it to offer favorable financing terms for small-scale green projects. MDB will extend these benefits to SMEs, mid-caps, and local authorities seeking to invest in climate-friendly initiatives. Eligible projects encompass electric vehicle charging infrastructure, solar installations, energy-efficient buildings, and waste recycling. Additionally, the agreement includes access to EIB advisory services to enhance MDB’s environmental sustainability capabilities and foster economic development in Malta. This partnership seeks to promote both environmental responsibility and employment opportunities in the country.

(PRESS RELEASE) LUXEMBOURG, 15-Nov-2023 — /EuropaWire/ — The European Investment Bank (EIB) and Malta Development Bank (MDB) are joining forces to boost the green transition of small and medium-sized companies and public sector entities. To this end, the EIB will provide MDB with a €30 million loan to finance much-needed small-scale green investments on favourable conditions.

Thanks to this new agreement, MDB will provide access to credit to small and medium-sized enterprises (SMEs), mid-caps and local authorities willing to invest in projects that contribute to the fight against adverse climate change. MDB will pass on the EIB’s favourable financing conditions and a longer repayment period to final beneficiaries, enabling entities that plan to invest in sustainable projects to make major financial savings. Through this agreement, the EIB will be leveraging on MDB’s market positioning, local outreach, and ability to channel funds in Malta.

Investments eligible under this programme include a wide range of green initiatives such as electric vehicle charging infrastructure, solar photovoltaic installations, energy efficiency in both public and private buildings, as well as waste recycling projects.

Moreover, in addition to the €30 million financing, a separate agreement between the two institutions will enable MDB to benefit from the EIB’s advisory services to expand its environmental sustainability capacity and financing. The EU bank’s advisory services — developed under the Green Gateway programme launched by the EIB and the European Commission — will help MDB build capacity in sourcing and assessing the eligibility of green projects while supporting them in reporting to the EIB.

This partnership will not only have a positive environmental impact but will also support employment in Malta by financing small-scale private and public investments throughout the country.

EIB Vice-President Gelsomina Vigliotti said: “This agreement underscores the EIB’s commitment to fostering sustainable economic growth and environmental responsibility in Malta. The advisory services provided under the Green Gateway will be crucial to support MDB’s commitment to boosting the green transition of SMEs, local authorities and communities across the country, enhancing climate action and economic development.”

MDB Chairman Prof Josef Bonnici stated: “As Malta’s only promotional bank, MDB is committed to continue helping the local economy to grow sustainably. Thanks to MDB’s collaboration with the EIB, MDB will be in a better position to roll out schemes and support businesses and public sector entities to contribute towards Malta’s climate-related targets.”

Background information

European Investment Bank (EIB)

The European Investment Bank (EIB) finances projects in four priority areas: infrastructure, innovation, climate and environment, and small and medium-sized enterprises (SMEs).

Green Gateway 

Financed with InvestEU Advisory Hub funds, the Green Gateway advisory programme was created by the EIB together with the European Commission to enable European financial institutions to invest in green projects. The Green Gateway’s advisory services aim to strengthen the skills, procedures and operational tools of EIB financial intermediaries to promote the planning, selection and financing of initiatives with positive environmental impact. The Green Gateway also offers an online portal full of guidelines, case studies and useful information on green investment. The portal provides access to the Green Eligibility Checker, a tool making it possible to assess the eligibility and climate impact of green economy investment projects in various sectors.

Media Contact:

Lorenzo Squintani
l.squintani@eib.org
+352437982528

Press Office

press@eib.org
+352 4379 – 21000

SOURCE: European Investment Bank