The banking group BNP Paribas has signed an agreement with the European Investment Bank (EIB) to stimulate financing of up to 8 billion euros for wind energy projects across the European Union.

This initiative will unlock key investments to support new wind farm projects, supply chain efficiency, and the improvement of network interconnections, thus accelerating the development of wind energy and ultimately increasing production.

Under the agreement, the EIB has provided a counter-guarantee of 500 million euros, enabling BNP Paribas to establish a portfolio of 1 billion euros in bank guarantees aimed at supporting new investments in wind farms in the EU.

It is expected that the leveraging effect of this counter-guarantee will stimulate up to 8 billion euros in investments in the real economy.

The agreement is part of a 5 billion euro initiative announced by the EIB in support of the European Wind Energy Package presented by the European Commission in October 2023.

The initiative aims to accelerate the deployment of wind energy and strengthen the competitiveness of the European wind industry.

The program intends to support the production of 32 GW of the 117 GW of wind capacity needed for the European Union to achieve its goal of generating at least 45% of its energy from renewable sources by 2030.

This transaction is part of BNP Paribas' long-term commitment to supporting the energy transition by directing its financing toward low-carbon energy, which will represent at least 90% of the bank's financing for energy production by 2030.

Ambroise Fayolle, Vice-President of the EIB, stated that support for renewable energies is essential for European energy independence. He also said that “guarantees, such as the ones provided by the EIB through this new financial instrument, help enable the financing of essential projects that drive the green transition, support the decarbonization of the European economy, and strengthen industrial competitiveness.”

For his part, Alain Papiasse, Chairman of the Corporate and Institutional Banking division at BNP Paribas, said that “This partnership reflects our mutual commitment to driving sustainable energy projects that strengthen the continent’s economy and reduce its carbon footprint. By combining our expertise and resources with the crucial support from the EIB, we look forward to helping drive long-lasting and positive projects for communities, businesses, and the environment.”

From BNP Paribas, Yannick Jung, head of corporate banking, also supported the alliance, stating that “by supporting European companies throughout the wind energy value chain, we believe our collective efforts will inspire innovation, foster sustainability, and pave the way for a stronger Europe.”