BAKU, Azerbaijan, March 25. The European Bank
for Reconstruction and Development (EBRD) is stepping up support
for green investment in Bosnia and Herzegovina’s residential sector
with a new financing package for Mikrofin, the country’s largest
microfinance institution, Trend reports via the Bank.
The EBRD will provide a senior loan of up to €4 million to
Mikrofin Banja Luka under the Western Balkans Green Economy
Financing Facility (GEFF) III – REPower Residential Programme. The
entire сумму will be directed toward energy efficiency and
renewable energy projects, with 100% of the financing classified as
green.
The funds will be on-lent to households and housing associations
to support the adoption of high-performance energy-efficient
technologies and eligible renewable energy solutions, helping
reduce energy consumption, cut carbon emissions and lower utility
costs.
The initiative targets the residential sector, one of the most
energy- and carbon-intensive segments of the Western Balkans
economy, and aims to accelerate the region’s green transition by
promoting technologies that exceed current national standards and
enhance long-term climate resilience.
This marks Mikrofin’s fourth project under the GEFF framework,
reinforcing its role as a key partner for the EBRD in Bosnia and
Herzegovina. The institution has already channelled €6 million to
end-borrowers under previous GEFF programmes.
The loan will be supported by technical cooperation and
investment incentives funded by the European Union through the
Western Balkans Investment Framework, as well as the Japan-EBRD
Cooperation Fund. The package includes capacity-building support,
market development initiatives and financial incentives to
encourage households to adopt green technologies.
Since launching operations in Bosnia and Herzegovina in 1996,
the EBRD has invested more than €3.4 billion across 262 projects in
the country.
