Renewable energy development in Egypt has been given a €140m boost through a new green investment program launched by the European Union (EU) in partnership with three international development banks.

The banks involved in the Green Economy Financing Facility (GEFF) investment program are the European Bank for Reconstruction and Development (EBRD), the Agence Française de Développement (AFD) and the European Investment Bank (EIB).

GEFF, through a group of participating banks, will offer loans to private firms that invest in energy efficiency and small-scale renewable energy projects. The aim of the program will also be to bring energy security in the concerned country.

The EU is financially supporting GEFF with a grant of €23.8m. Taking part in the new green investment facility in Egypt are The National Bank of Kuwait (NBK) and the Qatar National Bank (QNB) AlAhli.

Prior to the launch in Egypt, GEFF was implemented across 24 countries. It has the participation of 120 local financial partners to make a combined contribution of €4bn for promoting clean energy generation.

EBRD southern and eastern Mediterranean (SEMED) region managing director Janet Heckman said: “This facility is part of a new EBRD GEFF programme aiming at promoting better practices and raising awareness of the benefits of green economy investments.

“The GEFF programme in Egypt benefits from the expertise the EBRD has accumulated through investing in sustainable energy in 24 countries, and especially from its experience in providing finance through financial intermediaries.”

Apart from the loans, the program offers technical support needed to develop the renewable projects besides providing incentives for successful completion of investments.

Earlier in the month, EBRD had announced a funding of €300m to boost renewable energy in Greece.