The European Bank for Reconstruction and Development (EBRD) and the European Union (EU) are strengthening cooperation to accelerate green investment and climate action across sub-Saharan Africa.
The two institutions have agreed to extend the European Fund for Sustainable Development Plus (EFSD+) High-Barrier (Hi-Bar) guarantee programme with an additional €70 million allocation to support sustainable projects in the region. The move marks the first collaboration between the EBRD and the European Commission involving EU-backed guarantees in sub-Saharan Africa.
The expanded programme aims to unlock investment in climate mitigation measures, renewable energy solutions, and innovative green technologies, particularly in energy sectors and energy-intensive industries. It will also support projects linked to critical raw materials and their value chains, helping businesses transition towards cleaner production methods.
The EFSD+ Hi-Bar programme was initially launched in 2024 with up to €168 million in EU guarantees. It was designed to reduce financial risks associated with complex and high-impact projects, encouraging greater private-sector participation in strategically important industries.
By providing risk-sharing support, the initiative helps address one of the biggest challenges facing green investments: limited access to finance for projects involving new technologies or higher levels of uncertainty. The programme focuses on supporting early-stage climate solutions, first-of-a-kind investments, and technologies that require additional support before reaching wider commercial adoption.
In the energy sector, the initiative will help advance decarbonisation efforts and support the transformation of energy systems. It will also assist energy-intensive industries in modernising operations, improving efficiency, and reducing carbon emissions.
The expansion of the Hi-Bar programme into sub-Saharan Africa brings an established investment model to new markets where sustainable projects often face significant financial barriers. By combining EU guarantees with EBRD expertise, the partnership aims to encourage private investment, strengthen key industries, and support long-term economic development.
The initiative represents a major step in expanding access to green finance and promoting sustainable growth across sub-Saharan Africa. Through continued cooperation, the EBRD and EU aim to help businesses adopt cleaner technologies and contribute to global climate goals.
