The fund is aimed at lowering the energy bills of multi-apartment residential buildings across Lithuania.

The bank will manage of the fund and the Lithuanian government will secure about EUR150m from the 2014-2020 EU Structural and Investment Funds for its Multi-apartment Building Modernisation Programme.

EIB said it is a follow-up fund of the Jessica Holding Fund Lithuania (Jessica I) and its initial mandate for managing decentralised financial instruments for the 2014-2020 programming period.

About 250 buildings have been refurbished and around 1,000 facilities are currently undergoing works.

EIB vice-president responsible for lending in Lithuania Pim van Ballekom said: "The "Jessica II" fund will help to create new jobs and lower CO2 emissions, meanwhile allowing thousands of people to refurbish their houses and cut energy bills."

Lithuania Minister of Environment Kestutis Treciokas said: "7000 people are now happier with their lower bills for heating and better living conditions.

"Not to forget, energy savings through the renovation of the existing building stock is one of the most attractive and low cost options to reduce the emissions of CO2 and potentially improve energy security by reducing imports of fossil fuels."

Image: The Jessica II fund will continue the support for energy efficiency investments in Lithuania.Photo: courtesy of European Investment Bank.