EIB Approves €3bn Facility to Boost Energy Efficiency for Vulnerable Households Under ETS2

The initiative, developed in partnership with the European Commission, will also support sustainable transport investments and may expand further depending on market demand.

The European Investment Bank (EIB) has approved a major €3 billion financing initiative to fast-track energy efficiency upgrades for low- and middle-income households and small businesses across Europe, as the European Union prepares to roll out the new Emissions Trading System for buildings and road transport (ETS2).

The initiative, developed in partnership with the European Commission, will also support sustainable transport investments and may expand further depending on market demand.

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“Frontloading Facility” to Protect Households and SMEs

The newly approved Frontloading Facility positions the EIB to help EU Member States accelerate investments in affordable, energy-efficient solutions that reduce costs for households and businesses while supporting Europe’s climate transition.

Eligible investments include:

• Energy-efficient heating and cooling systems

• Building renovation and insulation upgrades

• Support for micro, small and medium-sized enterprises (MSMEs)

• Sustainable transport options such as:

  • Electric bikes

  • Public transport improvements

  • Electric vehicle charging infrastructure

The initiative aims to ensure that vulnerable households and smaller businesses can adapt fairly as ETS2 begins to reshape energy and transport costs.

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Lower Energy Bills, Stronger Energy Security

The facility is aligned with the EIB Group’s Climate Bank Roadmap Phase 2 and is designed to:

• Lower energy costs for families and companies

• Strengthen EU energy security

• Accelerate progress toward climate action goals

• Support a just transition under the new emissions trading framework

By frontloading investments now, the EU aims to reduce future cost burdens while speeding up decarbonisation.

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EIB Group Launches Gender Action Plan 2026–2030

In addition to the energy initiative, the Boards of the EIB and the European Investment Fund (EIF) approved the third Gender Action Plan (2026–2030) to advance gender equality and women’s economic empowerment.

The plan focuses on:

• Expanding women’s access to capital

• Promoting leadership opportunities

• Increasing employment and skills development

• Supporting inclusive infrastructure and services, including health solutions

The EIB Group reaffirmed its commitment to inclusive economic growth across Europe and beyond.

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€12.4bn in New Financing to Strengthen Competitiveness

The EIB Group’s Boards also endorsed a total of €12.4 billion in new financing aimed at boosting Europe’s competitiveness and reinforcing global partnerships.

New projects will support:

• Urban development in Estonia

• Bioeconomy and sustainable transport in France

• Business competitiveness in Greece and Slovenia

• Digitalisation and environmental sustainability in Italy

• University facilities in Poland

• Water management in Portugal

• Sustainable transport in Spain

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EIF Supports European Tech Champions

The EIF also approved new initiatives to strengthen Europe’s innovation ecosystem, including a new fund under the European Tech Champions Initiative.

The programme has so far:

• Anchored 12 venture capital mega funds

• Supported 38 scale-ups

• Increased its unicorn count from 9 to 11 this month

The initiative aims to help Europe’s best companies stay and grow within the continent.

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Global Gateway Projects Beyond the EU

Outside Europe, the EIB Group backed projects aligned with the EU’s Global Gateway strategy, including:

• Electricity networks in Burundi

• Climate adaptation in Rwanda

• Water management in Togo

• Business finance support in Ukraine

These investments strengthen Europe’s global partnerships and development footprint.

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Record €100bn Financing Impact in 2025

The EIB Board also reviewed the Group’s historic performance in 2025, which reached a record €100 billion in new financing.

The Board welcomed the institution’s growing strategic relevance, with investments increasingly focused on:

• Competitiveness and security

• Shared prosperity

• Democratic values

• Climate resilience worldwide