The European Bank for Reconstruction and Development (EBRD) has announced the provision of a USD 20 million financing package (approximately EUR 18 million) to Bank of Alexandria, a member of the Intesa Sanpaolo Group, reinforcing joint efforts to accelerate Egypt’s transition toward a green and sustainable economy.
This new facility underscores the EBRD’s continued commitment to supporting climate-related investments in Egypt, while enabling households and private micro, small, and medium-sized enterprises (MSMEs) to adopt advanced technologies that contribute to climate change mitigation and adaptation.
Structure of the Financing Package
The financing package comprises a USD 17 million loan (EUR 14.9 million) extended under the EBRD’s Green Economy Financing Facility II (GEFF II), a program supported by the European Union. In addition, the package includes USD 3 million (EUR 2.6 million) provided through co-financing from the Green Climate Fund (GCF).
Through this facility, Bank of Alexandria will on-lend the funds to local households and private MSMEs to finance investments in climate-resilient technologies and environmentally sustainable services, including energy efficiency, renewable energy, and other green solutions.
Incentives to Accelerate Green Investments
In parallel with the financing, the EBRD will offer investment incentives to eligible borrowers under GEFF II upon the successful completion and verification of their green investments. These incentives are designed to encourage the uptake of advanced climate technologies, reduce financial barriers, and enhance the economic viability of sustainable projects.
Technical Cooperation and Capacity Building
The program is further supported by a comprehensive technical cooperation package funded by the European Union, aimed at assisting Bank of Alexandria in implementing training initiatives, strengthening institutional capacity, and supporting project execution.
Moreover, the training activities will promote gender equality by enhancing equal access for women and men to climate finance and green technologies, contributing to inclusive and sustainable development outcomes.
Executive Statements
Commenting on the transaction, Mark Davis, Managing Director for the Southern and Eastern Mediterranean region at the EBRD, stated that the bank is proud to partner with Bank of Alexandria to support Egypt’s green transformation and accelerate the adoption of innovative climate investment solutions by households and MSMEs. He highlighted that the success of GEFF II, combined with the generous support of the European Union and the Green Climate Fund, will continue to drive sustainable growth and inclusive development across the country.
For his part, Paolo Veronese, Chief Executive Officer and Managing Director of Bank of Alexandria, described the new partnership under GEFF II as a significant milestone in the bank’s commitment to Egypt’s green transition. He emphasized that Bank of Alexandria remains focused on delivering innovative green solutions that empower households and MSMEs to invest in climate adaptation and mitigation technologies, fully aligned with the sustainability strategy of the Intesa Sanpaolo Group.
A Longstanding Strategic Partnership
The collaboration between the EBRD and Bank of Alexandria dates back to 2016, when the two institutions signed a USD 100 million financing agreement to support small and medium-sized enterprises through a dedicated credit line and the Trade Facilitation Programme. The partnership was further strengthened in 2017, with Bank of Alexandria securing an additional USD 30 million loan under Egypt’s Sustainable Energy Financing Facility, co-financed by the European Investment Bank.
Bank of Alexandria is one of Egypt’s leading private-sector banks. Established in 1957 and part of the Intesa Sanpaolo Group since 2007, the bank operates one of the largest branch networks among private banks in Egypt, with 173 branches nationwide. It serves more than 1.85 million customers through a workforce exceeding 4,300 employees, offering a wide range of value-added financial products and services to individuals, MSMEs, and corporates.
Egypt is a founding member of the EBRD, and since the start of its operations in the country in 2012, the bank has invested more than EUR 13.8 billion across 209 projects nationwide, playing a pivotal role in advancing sustainable economic development.
