Moving onto a greener, low-carbon and resource-efficient path of economic development requires significant investments. The public sector alone cannot bear the costs of such investments. In order to promote private sector finance, governments need to provide appropriate incentives.
Commercial banks have a potentially important role to play in providing lending for green investments. However, under the current conditions in the EU Eastern Partnership (EaP) countries, their involvement is rather limited. Generally, commercial banks have only established specific environmental credit lines when supported by International Finance Institutions (IFIs) and donors. In addition to supporting immediate investment priorities, the IFIs have established such credit lines with the aim of helping to strengthen the capacity of local banks to internalise sustainable energy lending into their standard project portfolios. IFI-supported environmental credit lines disbursed through local commercial banks offer useful insights into what needs to be done in order to increase the capacity of the banking sector to finance green investments.
In this context, the expert meeting on "Access to finance for green investments in the EU Eastern Partnership countries", held on 5-6 June 2014 at the OECD Headquarters in Paris, focused on the following objectives:
The meeting was attended by a number of stakeholders, including representatives of IFIs, donor agencies, international organisations, local commercial banks, ministries of economy of the EaP countries, OECD/EU country experts and consultants working on financing green investments in the EaP region.
Day 1: Thursday, 5 June 2014
Access to private finance for green investments in the EU Eastern Partnership countries
Financing of green investments by commercial banks
Day 2: Friday, 6 June 2014
Design and implementation of environmentally related IFI-supported credit lines in the EU EaP countries
Challenges with disbursing credit line resources by local banks at a country level
New green investment initiatives in the EU EaP countries