BAKU, Azerbaijan, May 5. The European Commission, Germany’s KfW and DEG have signed a €300 million joint guarantee agreement to support sustainable urban development and green hydrogen investments in the Middle East and North Africa (MENA), Trend reports.
According to the European Commission, the initiative is backed by the European Fund for Sustainable Development Plus (EFSD+).
The agreement aims to strengthen KfW and DEG’s capacity to finance projects that improve energy efficiency, expand renewable energy use, and reinforce urban infrastructure resilience. It will also support the production, storage, and distribution of green hydrogen in the region.
The initiative contributes to the EU’s broader strategic goals, including the Global Gateway and the European Green Deal, and is expected to generate economic opportunities while addressing energy and climate priorities across MENA.