Strategic Moves - Regional Environmental Center for Central and ...

FIGURE 21: Share of environmental infrastructure investments by bilateral donors (2005–2007)
Netherlands
1%
Luxembourg
2%
Japan
10%
Switzerland
6%
Sweden
1%
Spain
1%
Norway
10%
Italy
6%
Source: OECD ODA database
Others
1%
Austria
10%
ceived the least financing per capita. This is probably due to the fact that Croatia had
the most advanced projects, in terms of bankability and maturity for financing.
The European Bank for Reconstruction and Development (EBRD) provides
funds to build market economies, as well as project co-financing for banks,
industries and businesses. Loans and equity finance, financial guarantees and technical
assistance for project preparation are major instruments for the direction of
funding. The EBRD provides long-term loans (up to 15 years) with a grace period
and interest rates based on the credit risk of the borrower. Loans of between EUR
5 and 250 million (up to 35 percent of total project costs) are provided to projects
demonstrating clear creditworthiness and profitability, positive environmental effects
(an EIA is necessary) and a positive influence on the local economy. Co-financing
from foreign and domestic partners is necessary. The bank promotes
co-financing and foreign direct investments; helps to mobilise domestic capital;
and provides grants and technical assistance for project preparation. The bank has
a set of country-specific and sector-specific strategies related to municipal and environmental
infrastructure and natural resources management.
In 2006, the EBRD, with partner IFIs and donors, launched the multi-donor
Western Balkans Fund to mobilise additional grant funding for the countries of
the region and to strengthen the coordination of EBRD donor assistance.
C H A P T E R 7
F I N A N C I N G E N V I R O N M E N TA L I N F R A S T R U C T U R E I N V E S T M E N T S
Germany
52%
S T R AT E G I C M O V E S 167