EIB provides €50m to SID Banka for investments in Slovenia's infrastructure projects
SID Banka will match the EIB investment with own funds, unlocking a total of €100 million for investments in municipal development in Slovenia.
The European Investment Bank (EIB), the bank of the European Union, will provide €50 million to Slovenska izvozna in razvojna banka (SID Banka) to create a new source of more affordable financing for investments in small infrastructure projects promoted by Slovenian municipalities. SID Banka will match the EIB investment with own funds, unlocking a total of €100 million for investments in municipal development in Slovenia.
Local governments and their public companies will be able to finance small-scale infrastructure projects, energy efficiency measures and environmental protection initiatives in their local communities.
The operation accelerates the green and sustainable development of Slovenia, improves the quality of life and the conditions for doing business in the country, and strengthens economic, social and territorial cohesion in the European Union. Slovenian municipalities will be able to invest in reducing their energy consumption, energy waste and carbon footprint, contributing to the success of global climate action and EU plans to become carbon neutral by 2050.
EIB Vice-President Lilyana Pavlova, who is in charge of operations in the country, said: "The EIB and SID Banka have created a new source of more affordable financing for the faster development of municipalities and Slovenia's economic and social development. Our financing will improve living conditions, energy efficiency and environmental protection in local communities, contributing towards Slovenian and EU priorities in regional development. Strengthening cohesion in the European Union is in the EIB's DNA and one of the reasons we were founded more than six decades ago. I would like to thank SID Banka for giving us the opportunity to continue strengthening Slovenia and the European Union."
Sibil Svilan, President of the Management Board and CEO of SID Banka, said:
"The long-standing good cooperation between the EIB and SID Banka has yet again been confirmed with the new €100 million loan that will provide financing opportunities for municipalities and municipal public companies. Financing will be available for projects in the fields of infrastructure, energy efficiency and the environment. All the benefits of the EIB funds for the economy — long maturities, a wide range of opportunities and methods for using the funds, price benefits, permanent availability and geographical coverage — will be transferred through commercial banks with SID Banka as the intermediary, and also directly through SID Banka. I firmly believe that all the financed projects will be crucial for the sustainable development of Slovenia, as the successful implementation of public infrastructure projects relies on such long-term and favourable sources of financing."
A more competitive, smarter, greener and low-carbon Slovenia
This EIB loan supports the priorities outlined in EU cohesion policy — a more competitive and smarter Europe and Slovenia; a greener, low‑carbon transition towards a net zero carbon economy; a more connected Europe by enhancing mobility; a more social and inclusive Europe; and a Europe closer to citizens, by fostering sustainable and integrated regional development across the European Union. Between 2014 and 2020 alone, the EIB provided €123.8 billion to projects in EU cohesion regions supporting these goals.
In 2020 alone, EIB lending for cohesion projects amounted to €19.5 billion.