The European Investment Bank (EIB) and BBVA sign two agreements to boost green finance

The first agreement is an EIB guarantee facility of up to EUR 380 million to support sustainable projects. The EIB will guarantee approximately 50% of a portfolio of up to EUR 760 million, while BBVA commits to generating a new portfolio of eligible green projects equivalent to 100% of the maximum guaranteed amount. The beneficiaries will include individuals, homeowner associations, SMEs and real estate developers. This is a new significant risk transfer (SRT) operation that enables BBVA to free up regulatory capital, as part of its strategy to optimise capital use and create value.

Jean‑Christophe Laloux, Director General, Head of Lending and Advisory within EU at the EIB, said: "These agreements mark a further key milestone in EU climate financing with a leading banking partner in Spain, and underline our commitment to support more sustainable housing solutions that deliver both environmental and social impact. We will complement this with advisory support to help identify new financing solutions to deliver even more impact on the ground with our financing."

“This agreement we are signing with the European Investment Bank allows us to boost lending to support small and medium sized enterprises in their adaptation to climate change. For BBVA, it is a highly relevant agreement because it encompasses three of the Group’s strategic priorities: driving sustainability as a growth engine, expanding in the business segment and optimising capital,” said Iván Poza, Head of Public Institutions and Sovereign Wealth Funds at BBVA CIB.

The second agreement concerns the provision of advisory services under the InvestEU Advisory Hub. Through this agreement the EIB Advisory will provide support to BBVA to strengthen its climate action and environmental sustainability capabilities. This includes advisory support on project origination, eligibility analysis, product development and impact reporting, with particular focus on the real estate and infrastructure sectors. The EIB will also provide guidance on financing and grant schemes, including the interaction between public support, EIB instruments and other risk mitigation tools.

“The EIB will provide us with advisory services that will allow us to continue advancing our climate strategy and our goal of accelerating sustainability as a growth engine and, through it, accompanying our clients and fostering new business opportunities,” stated Antoni Ballabriga, Global Director of Sustainability Intelligence at BBVA.

The announcements were made during the Green Gateway event held in Luxembourg, organised by the EIB Group with financial support from the European Commission’s InvestEU Advisory Hub. The event brought together more than 200 participants, including partner banks and other key stakeholders, to discuss developments in the EIB Group’s green intermediated finance and advisory offer.