BNP Paribas and the European Investment Bank (EIB) celebrated the signing of an agreement that will stimulate significant funding for wind energy projects across the European Union (EU). This initiative will unlock key investments to support new wind farm projects, supply chain efficiency, and improved grid interconnections, therefore accelerating wind energy development and ultimately increasing production.
Under the agreement, the EIB has extended a EUR500 million counter-guarantee, enabling BNP Paribas to establish a EUR1 billion portfolio of bank guarantees designed to back new investments in wind farms in the EU. The leverage effect of such a counter-guarantee is expected to spur further investments of up to EUR8 billion in real economy terms.
The deal forms part of the EIB’s EUR5 billion wind power package, which contributes to the European Wind Power Package, by helping to fund and manage further acceleration towards the net-zero transition, whilst fostering a more robust and profitable home-grown European industrial base for renewable technology innovation. The EIB’s wind-focused programme aims to support the production of 32 gigawatts (GW) of the 117 GW of wind capacity needed to enable the EU to meet its goal of generating at least 45% of its energy from renewable sources by 2030.
This transaction is in line with BNP Paribas’ long-standing commitment to supporting the energy transition by directing its financing towards low-carbon energy, which will account for at least 90% of the Bank’s energy production financing by 2030.
❝ Wind energy is central to European energy independence. Producers are currently facing significant challenges, including elevated costs, fluctuating demand, lengthy permitting processes, supply chain disruptions, and strong international competition. This agreement demonstrates how the EIB’s risk-sharing instruments are addressing these obstacles, enabling the funding of essential projects that drive the green transition, support the decarbonisation of the European economy, and strengthen industrial competitiveness. ❞
❝ This partnership reflects our mutual commitment to advancing sustainable energy projects that strengthen the continent’s economy while reducing its carbon footprint. By uniting our expertise and resources with the EIB’s pivotal support, we hope to help drive lasting, positive projects for communities, businesses, and the environment. ❞
❝ We see the EIB’s invaluable support in this partnership as a way of accelerating our ongoing strategy to facilitate the transition towards a Low Carbon economy. By supporting European Corporates along the Wind Value Chain, we believe our collective efforts will inspire innovation, foster sustainability, and pave the way for a greener Europe. ❞
