The European Bank for Reconstruction and Development (EBRD) and the European Union (EU) have launched a €25.9 million Green Economy Financing Facility to support sustainable investments by businesses and households in Palestine.
The programme aims to expand access to financing for renewable energy, energy efficiency, green buildings, circular economy solutions, waste management and other resource-efficient investments. These projects are expected to help businesses and households reduce costs, improve competitiveness and strengthen resilience to climate change.
The facility will work through local financial institutions, combining EBRD financing with technical expertise and EU-funded investment incentives of up to 25 per cent for eligible and verified investments. The incentives are intended to encourage the adoption of green technologies across the Palestinian economy.
Improving access to green finance for women and women-led businesses is also a stated objective of the programme. Dedicated technical assistance and capacity-building activities will support participating financial institutions, households and businesses throughout its implementation.
The initiative is expected to deliver environmental benefits through lower energy consumption, reduced water use and less waste. Investments supported by the programme to date are projected to save 12,656 megawatt-hours of primary energy and avoid 3,717 tonnes of carbon dioxide emissions annually.
The programme forms part of the EBRD’s wider engagement in the Palestinian economy. Since beginning operations in the West Bank and Gaza in 2017, the bank has approved 42 projects with a combined value of €225 million.
