IFC's first "blue" loan in central and Eastern Europe goes to Banca Transilvania
The International Financial Corporation (IFC) will extend a landmark EUR 100 mln loan to Banca Transilvania (BT), Romania's largest lender, as the first "blue" financing loan in Central and Eastern Europe to increase funding for the…
Andrei Chirileasa · Journalist
· Updated · 1 min read
The International Financial Corporation (IFC) will extend a landmark EUR 100 mln loan to Banca Transilvania (BT), Romania's largest lender, as the first "blue" financing loan in Central and Eastern Europe to increase funding for the sustainable use of water (blue) projects in Romania.
To comply with all the European Union (EU) requirements relating to the water and wastewater sectors, Romania will have to invest about EUR 15 billion by 2027.
Out of these, at least EUR 3 billion could be provided by private sector financiers.
IFC's support will help the bank establish a blue finance product to extend loans to micro, small, and medium enterprises (MSMEs) in line with IFC's Guidelines for Blue Finance.
The term blue economy refers to the sustainable use of ocean resources for economic growth, improved livelihoods, and jobs while preserving the health of ocean ecosystems and water resources.
The proceeds from IFC's investment will be used to finance blue projects in Romania, including sustainable manufacturing, tourism, fishing, sustainable agricultural irrigation, and other areas, contributing to the sustainability of oceans and freshwater resources.
(Photo: Vinnstock | Dreamstime.com)
