Three loan and grant agreements on Wednesday were signed among Bangladesh, European Investment Bank (EIB) and the European Commission (EC) involving EUR 407 million to support renewable energy sector of Bangladesh at Brussels in Belgium, reports BSS.
Bangladesh Prime Minister Sheikh Hasina along with the EC President Ursula von der Leyen and EIB President Werner Hoyer witnessed the signing of agreements at the European Commission Headquarters in Brussels, the capital of Belgium.
The first agreement “Bangladesh Renewable Energy Facility” was signed between Bangladesh and the EIB for an EU-guaranteed framework loan of up to EUR 350 million to support climate action investments in Bangladesh.
The second one was signed between the EIB and the EC of an EU blending grant of EUR 45 million — comprising EUR 6 million of technical assistance to ensure that all sub-projects comply with international market practices and EIB’s environmental and social standards, and of EUR 39 million of investment grant — to bring in concessional lending tools to support the first renewable energy utility scales projects in Bangladesh.
The third agreement “Partnership for Green Energy Transition”, signed between Bangladesh and the European Commission costing EUR 12 million and co-financed by Germany, aims to work on policy, legal framework and investment climate to facilitate an inclusive green energy
Secretary of Economic Relations Division Sharifa Khan, Deputy Managing Director Markus Berndt of the EIB (GLO) and Director General (DG) of International Partnerships of the EC Koen Doens were present at the signing ceremony.