AMMAN — The European Bank for Reconstruction and Development (EBRD), the European Union (EU) and the Green Climate Fund (GCF) joined forces to host a Green Growth Conference on Tuesday  to promote the impact of the Green Economy Financing Facility (GEFF) programme in Jordan.

 

To date, the EBRD, GCF and EU have provided a total of 39.8 million euros in financing under the programme to Housing Bank, Cairo Amman Bank and Etihad Bank, as well two microfinancing institutions, the Microfund for Women and Tamweelcom, for on-lending to the private sector for investment in high-performance technologies and services.

 

The GEFF programme was launched in Jordan in 2022 to support the country’s transition to a greener economy. Over the past two years, the programme has supported more than 700 projects in more than 10 sectors, according to an EBRD statement to The Jordan Times.

 

Sixty-eight per cent of loans were to women sub-borrowers. These projects have resulted in energy savings of 2,927 MWh per year, a reduction of 2,866 tonnes in CO2 emissions annually and a decrease of 213 tonnes of waste per year, in addition to water savings of 11,000 m³ per year.

 

The facility has sparked interest among local banks for its efforts to support micro, small and medium-sized enterprises (MSMEs) and individuals keen to invest in green technology.

 

Due to its "successful" uptake and a high level of interest among local banks and the private sector, the EBRD, EU and GCF had mobilised an additional 48.5 million euros in funding as at end 2023 to engage more local partner banks in extending additional financing to local MSMEs.

 

The GEFF programme is designed to address significant climate mitigation and adaptation challenges by encouraging MSMEs and households to invest in green and innovative technologies that promote energy, water and material efficiency solutions alongside renewable energy.

 

The programme also offers capacity-building to help financial institutions enhance their skills and develop tailored products, ensuring their clients have access to the most effective green technologies.

 

At the conference, held in Amman, EBRD representatives updated the audience about the impact and achievements of the GEFF in Jordan to date.

 

The event served as an opportunity for the public, private and banking sectors to discuss their priorities in developing a green, resilient and competitive economy in Jordan, as well as the challenges and opportunities faced by the financial sector.

 

The EBRD’s Trade Facilitation Programme (TFP) was also present, taking part in a panel discussion on eligible products and strategies available through TFP partner banks.

 

The event was attended by EBRD Regional Head of the Eastern Mediterranean Gretchen Biery, Jordanian Environment Minister Muawieh Radaideh and EU Head of Cooperation Patrick Lambrechts.

 

Since it started investing in Jordan in 2012, the EBRD has provided almost 2.3 billion euros in financing through 74 projects across the country, including financial support for the Jordanian banking sector in the form of MSME loans, subordinated debt and trade finance facilities.