EBRD celebrates a record-breaking year
In 2023, the European Bank for Reconstruction and Development (EBRD) made headlines by investing a staggering €13.1 billion across its regions, surpassing its previous record.
Amid global challenges, the EBRD’s commitment to reshaping economies through green financing, gender-focused projects, and unwavering support for Ukraine stands as a testament to its pivotal role in modern economic development.
Breaking Boundaries with Green Financing
The EBRD’s focus on green economy financing in 2023 was nothing short of revolutionary. Half of its total investment volume, over €6.5 billion, was dedicated to this cause.
This unprecedented move underlines the Bank’s commitment to combating the climate crisis and fostering sustainable growth.
EBRD President Odile Renaud-Basso said: “With global challenges such as the climate crisis, macroeconomic uncertainties and geopolitical tension growing more and more acute, the EBRD is accelerating its support for its clients and countries of operations.
Never in its history has the Bank invested as much as it did in 2023, while at the same time delivering its goals of developing the private sector and greening economies and maintaining its focus on delivering impact and supporting the transition to modern, inclusive markets.
Last year demonstrated that crises can be sudden, such as natural disasters, or prolonged, like the war on Ukraine. Whatever the nature of such crises, we remain committed, agile and highly effective in our support for all our economies.”
A Beacon of Support for Ukraine
Amidst geopolitical tensions, the EBRD emerged as Ukraine’s largest institutional investor.
The Bank’s efforts, including a notable €2 billion in financing, were instrumental in supporting Ukraine’s energy security, infrastructure, and private sector.
These initiatives not only showcased the Bank’s agility but also its resolve in times of crisis.
Pioneering Expansion into Sub-Saharan Africa
2023 also marked a strategic decision by the EBRD to expand its operations into sub-Saharan Africa.
This move, driven by the region’s growing economic links and potential for private-sector development, signals the Bank’s vision of fostering inclusive markets beyond its traditional boundaries.
Mobilisation and Capital Increase: A Strategic Leap
The EBRD’s total mobilisation reached an impressive €26.2 billion, demonstrating its effectiveness in unlocking investments from various sources.
Furthermore, the Bank’s governors approved a €4 billion increase in paid-in capital, bolstering its financial foundation and enabling sustained support across its regions.
Overcoming Challenges: The EBRD’s Response to Natural Disasters
The year also tested the EBRD’s resilience as Türkiye and Morocco faced devastating earthquakes.
The Bank’s swift and substantial response, including a €1.5 billion investment plan for Türkiye and a €250 million package for Morocco, underscored its role as a reliable partner in times of crisis.
Welcoming New Members and Anticipating Future Announcements
The addition of Iraq, Benin, and Côte d’Ivoire as members expands the EBRD’s global footprint, reflecting its growing influence in world economies.
As the Bank prepares to announce its financial results, the anticipation builds around the impact of its investments on individual economies.
