NDB & EIB join hands to fund sustainable development projects
MUMBAI: New Development Bank, popularly known as the “BRICS” bank and European Investment Bank, the long term lending institution of European Union have signed a Memorandum of Association to support sustainable development and climate related investments.
According to the MoU, the NDB and EIB intend to explore cooperation in the areas of infrastructure, environment, and sustainable development projects in accordance with their respective mandates and policies. The two banks will seek to co-finance projects of mutual interest in eligible countries, including projects that contribute to the enhancing of sustainable infrastructure as well as engage in other initiatives.
“Establishing partnerships with key national and global institutions is essential for NDB in order to provide the best possible products and services to our members. We will strive to make a positive difference by complementing the efforts of other multilateral development banks, including EIB,” said Mr. K.V.Kamath, President NDB in a statement.
The New Development Bank was created with an objective of financing infrastructure and sustainable development projects in BRICS and other emerging economies and developing countries. In 2016, the Board of Directors of the Bank have approved loans over $1.5 bln for projects in the areas of green and renewable energy, and transportation. The approved projects is expected to support the creation of about 1500 MW of renewable energy capacity and are estimated to result in the reduction of greenhouse gas emissions by over 4 million tons per year.
“As the EU Bank, we share the New Development Bank’s commitment to support sustainable development and climate related investment. We look forward to enhancing this partnership in the years ahead,” said, Werner Hoyer, President, European Investment Bank.
According to the MoU, the NDB and EIB intend to explore cooperation in the areas of infrastructure, environment, and sustainable development projects in accordance with their respective mandates and policies. The two banks will seek to co-finance projects of mutual interest in eligible countries, including projects that contribute to the enhancing of sustainable infrastructure as well as engage in other initiatives.
“Establishing partnerships with key national and global institutions is essential for NDB in order to provide the best possible products and services to our members. We will strive to make a positive difference by complementing the efforts of other multilateral development banks, including EIB,” said Mr. K.V.Kamath, President NDB in a statement.
The New Development Bank was created with an objective of financing infrastructure and sustainable development projects in BRICS and other emerging economies and developing countries. In 2016, the Board of Directors of the Bank have approved loans over $1.5 bln for projects in the areas of green and renewable energy, and transportation. The approved projects is expected to support the creation of about 1500 MW of renewable energy capacity and are estimated to result in the reduction of greenhouse gas emissions by over 4 million tons per year.
“As the EU Bank, we share the New Development Bank’s commitment to support sustainable development and climate related investment. We look forward to enhancing this partnership in the years ahead,” said, Werner Hoyer, President, European Investment Bank.
