EIB Extends €100m Blue Economy Loan to Support Arctic Marine SMEs

The operation marks the first intermediated EIB financing of its kind in Iceland and the Arctic territories under the Kingdom of Denmark.

The European Investment Bank (EIB) has agreed to provide a €100 million loan to Icelandic lender Arion Bank, unlocking new long-term financing for small and medium-sized marine businesses in Iceland, Greenland and the Faroe Islands.

The initiative will support investments aimed at strengthening environmental sustainability across key ocean-based industries, including sustainable fishing, seafood processing, aquaculture, and algae farming.

Boosting Sustainability in a Vital Arctic Industry

Ocean-related sectors are a cornerstone of Iceland’s economy and play a major role across the wider Arctic region. However, these industries face growing pressure to reduce environmental impacts, modernise technology, and build resilience in the face of climate change and evolving global sustainability standards.

The EIB-Arion Bank agreement is designed to accelerate investment in what is widely referred to as the “blue economy” — the sustainable use of marine resources for economic growth while protecting ocean ecosystems.

“This financing supports companies that depend on the ocean for their livelihoods while ensuring that marine resources are managed responsibly over the long term,” said EIB Vice President Karl Nehammer.

“By working with Arion Bank, we can support sustainable investment where it matters most, at the level of local businesses.”

First EIB Intermediated Marine Financing in the Region

The operation marks the first intermediated EIB financing of its kind in Iceland and the Arctic territories under the Kingdom of Denmark.

Through Arion Bank, the EIB will provide long-term loans to smaller marine companies, improving access to finance for sustainability projects planned between 2026 and 2029.

The agreement advances European Union objectives to:

• Foster responsible growth of the blue economy

• Promote healthy marine ecosystems

• Encourage sustainable fisheries and aquaculture practices

• Support climate-aligned investment in Arctic regions

Arion Bank to Channel Funding to SMEs

Headquartered in Reykjavik, Arion Bank is one of Iceland’s three largest lenders and has a strong portfolio in seafood, aquaculture and Arctic marine enterprises.

“For decades, Arion has been a steadfast supporter of Iceland’s fishing industry,” said CEO Benedikt Gíslason.

“Over the past decade, Arion has led the way in funding aquaculture in Iceland, helping to establish a thriving sector that is becoming a vital pillar of the national economy.”

He added that the partnership with the EIB will strengthen opportunities to expand sustainable marine investment across the Arctic.

Strict Sustainability Certification Required

To qualify for financing under the agreement, all fisheries and aquaculture projects must be certified under internationally recognised sustainability schemes, including:

• Marine Stewardship Council (MSC)

• Aquaculture Stewardship Council (ASC)

These certifications are widely regarded as leading global benchmarks for sustainable seafood production and responsible marine resource management.

Strengthening EU–Iceland Blue Economy Cooperation

EU Ambassador to Iceland Clara Ganslandt welcomed the agreement, describing it as a milestone in EU-Iceland cooperation.

“This agreement marks the first EIB financing to promote sustainable fisheries, land-based aquaculture and other marine industries in small and medium-sized companies in Iceland,” she said.

“It adds to the comprehensive EU-Iceland partnership.”

Part of EIB Climate and Environmental Strategy

The loan is financed under a dedicated EIB instrument supporting sustainable investment in European Free Trade Association (EFTA) countries such as Iceland.

The operation contributes fully to the EIB’s climate-action and environmental sustainability objectives, reinforcing the role of finance in supporting greener, more resilient marine industries across the Arctic.