The European Bank for Reconstruction and Development (EBRD) announced on Tuesday that Sparkasse Bank Makedonija AD Skopje will receive a 5 million euro ($5.9 million) loan package for home energy efficiency projects.
The funds will be used to promote investments in green technologies, materials, and solutions in privately held residences and structures, according to the EBRD’s Western Balkans Green Economy Financing Facility (WB GEFF II).
Borrowers will also be eligible for a return of up to 20% if the project is completed successfully and is funded by the European Union (EU).
The EBRD will also provide Sparkasse Bank with a 20 million euro unfunded risk-sharing facility, guaranteeing up to 50% of the lender’s existing and new corporate exposure.
The facility will boost Sparkasse’s potential to finance further green economy projects by freeing up capital, according to the EBRD.
The European Bank for Reconstruction and Development (EBRD) provided a 2 million euro loan line for green investments to Ohridska Banka in North Macedonia, which amalgamated with Sparkasse Bank Makedonija AD Skopje in mid-July.
The EU, the Western Balkans Investment Framework (WBIF), and the Austrian Federal Ministry of Finance have all contributed 135 million euros to the GEFF. It is carried out under the auspices of the Western Balkans Regional Energy Efficiency Programme (REEP Plus).