BAKU, Azerbaijan, December 10. The European Investment Bank (EIB) has unveiled a significant financing package of 3 billion euros aimed at supporting agriculture, forestry, and fisheries across Europe, Trend reports.
This initiative is designed to help small and medium-sized enterprises (SMEs) and mid-sized companies in the agriculture sector, boosting long-term investments in bioeconomy projects. The loans, expected to leverage additional funding from participating financial institutions, will unlock a total of 8.4 billion euros in investments over the next three years, with the first loans set to be signed in the first half of 2025.
EIB Group President Nadia Calviño emphasized the importance of this initiative in ensuring the future of farming in Europe. "The EIB Group financing announced today will help ensure a future for a new generation of farmers and companies in the agri-food industry," she said during the EU Agri-Food Days conference in Brussels. The new financing package also includes targeted support for young farmers and female farmers, addressing common barriers they face in accessing traditional bank financing.
The financing will focus on fostering green investments, such as soil health, water management, and digital tools, in line with the European Union’s sustainability goals. The EIB aims to contribute to the EU’s climate resilience by supporting farmers in transitioning to more sustainable practices. "We are stepping up our support for agriculture and the bioeconomy using a wide array of innovative tools," said EIB Vice-President Gelsomina Vigliotti.
Additionally, the package will bolster training programs on sustainable farming practices and promote land purchases by young or new farmers, addressing the low number of young farmers in Europe. By supporting the agricultural sector's transition to greener practices, the EIB hopes to reduce environmental impacts while ensuring the sector's long-term sustainability.
As part of this effort, the EIB is also exploring ways to improve agricultural insurance against extreme weather events, such as floods and droughts, which have become more frequent due to climate change. In collaboration with the European Commission and the insurance industry, the EIB aims to strengthen insurance schemes and encourage investment in climate adaptation strategies.