EIB Mobilizes €200 Million for French Farming and Bioeconomy, Focusing on Youth and Sustainability

EIB Mobilizes €200 Million for French Farming and Bioeconomy, Focusing on Youth and Sustainability

(IN BRIEF) The EIB and BPCE banking group have signed an agreement to provide €200 million in loans for SMEs and mid-caps in the French farming and bioeconomy sectors. The initiative aims to support young farmers and promote sustainable agriculture, including projects focused on climate action and resource efficiency. This agreement is the first operation under the EIB’s €3 billion package approved in 2024 to assist agricultural businesses, with a focus on generational renewal and ecological transition.

(PRESS RELEASE) LUXEMBOURG, 8-May-2025 — /EuropaWire/ — The European Investment Bank (EIB) and the BPCE banking group have formalized an agreement to mobilize €200 million in loans to support small and medium-sized enterprises (SMEs) and mid-caps in the French farming and bioeconomy sectors. This agreement marks the first operation in France as part of the €3 billion package approved by the EIB in 2024 to bolster agricultural businesses.

The focus of this initiative is to address the specific needs of young farmers, with the aim of facilitating the creation of new farming enterprises and the transfer of existing ones. It is designed to stimulate job creation and retention in rural areas by making it easier for individuals to acquire and modernize farms, while also supporting the adoption of sustainable farming technologies.

EIB Vice-President Gelsomina Vigliotti, responsible for agricultural operations, emphasized the importance of this agreement, saying: “We are proud to sign this agreement with Groupe BPCE. As the first operation in France under the EIB’s €3 billion agricultural support package, we are particularly focused on young farmers. This operation will provide affordable, tailored financing to help the sector transition to a more sustainable and resilient future.”

Cédric Glorieux, Director of Products and Solutions at Banque Populaire and Caisse d’Epargne, also commented: “Through our longstanding partnership with the EIB, we now have a dedicated credit envelope of €200 million for the farming and winegrowing sectors. This initiative will significantly increase our support for young farmers and new entrants, helping to ensure generational renewal in rural areas while accelerating the transition to sustainable agriculture.”

The agreement was signed during a conference on Agriculture and Food in Brussels, where European Commissioner for Agriculture and Food, Christophe Hansen, highlighted the importance of the EIB’s initiative: “The €3 billion package was designed to support the EU’s agricultural priorities, particularly by facilitating generational renewal and encouraging the ecological transition in rural areas. Today’s agreement underscores the crucial role these funds play in advancing agriculture and bioeconomy sectors.”

The majority of the finance will be directed towards projects in regions benefiting from European cohesion and transition programs. Furthermore, 30% of the funding will be allocated to projects that promote climate action, efficient water use, and biodiversity conservation. These projects will focus on energy-efficient irrigation, solar panel installations, low-carbon machinery, soil regeneration, and sustainable resource management. With this operation, SMEs and mid-caps will be able to access loans with more favorable financing terms and repayment conditions suited to the nature of their investments.

EIB

The European Investment Bank is the long-term lending institution of the European Union, owned by its Member States. Built around eight core priorities, we finance investments that contribute to EU policy objectives, by bolstering climate action and the environment, digitalisation and technological innovation, security and defence, cohesion, agriculture and bioeconomy, social infrastructure, the capital markets union, and a stronger Europe in a more peaceful and prosperous world. The EIB Group, which also includes the European Investment Fund (EIF), signed nearly €89 billion in new financing for over 900 high-impact projects in 2024, boosting Europe’s competitiveness and security. The EIB Group signed more than 100 operations in France in 2024 for a total amount of €12.6 billion, mobilising €62 billion of investment in the real economy. All projects financed by the EIB Group are in line with the Paris Climate Agreement, as pledged in our Climate Bank Roadmap. Almost 60% of the EIB Group’s annual financing supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment. Fostering market integration and mobilising investment, the Group supported a record of over €100 billion in new investment for Europe’s energy security in 2024 and unlocked €110 billion in growth capital for startups, scale-ups and European pioneers. Approximately half of the EIB’s financing within the European Union is directed towards cohesion regions, where per capita income is lower than the EU average.

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Groupe BPCE

Groupe BPCE is the second-largest banking group in France. It employs 100 000 staff serving 35 million customers worldwide – individuals, professionals, companies, investors and local government. It operates in the retail banking and insurance fields in France via its two major networks, Banque Populaire and Caisse d’Epargne, along with Banque Palatine and Oney. It also pursues its activities worldwide with the asset and wealth management services provided by Natixis Investment Managers and the wholesale banking expertise of Natixis Corporate & Investment Banking. The group’s financial strength is recognised by four rating agencies with the following preferred senior long-term ratings: Moody’s (A1, stable outlook), Standard & Poor’s (A+, stable outlook), Fitch (A+, stable outlook) and R&I (A+, stable outlook).

Media contacts:

Christophe Alix
c.alix@eib.org
+352 4379 – 84303

Press Office
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SOURCE: European Investment Bank