The European Bank for Reconstruction and Development (EBRD), in partnership with the Green Climate Fund (GCF) and the European Union (EU), is supporting Jordan’s green transition through a new financing initiative for climate-focused investments.
The EBRD is providing a loan of up to US$20 million to Cairo Amman Bank (CAB), with the Green Climate Fund co-financing 25% of the facility, equal to US$5 million. The funding will help expand access to green finance for individuals and private-sector micro, small and medium-sized enterprises (MSMEs) across Jordan.
The financing will be used to support investments in climate change mitigation and adaptation technologies, as well as upgrades that help businesses adopt more sustainable and efficient practices. Eligible borrowers will gain access to green finance solutions, including advanced technologies, equipment, machinery, and services designed to improve environmental performance.
The facility represents the second loan provided to Cairo Amman Bank under the GCF–Green Economy Financing Facility (GEFF) Regional Programme in Jordan. It follows the successful completion of a previous US$10 million financing facility launched in 2022.
The initiative aims to strengthen Jordan’s green economy by creating greater demand for high-performance climate technologies and sustainable services. It will provide businesses and individuals with financial tools and resources to support energy efficiency, climate resilience, and environmentally responsible investments.
As part of the programme, the EBRD, EU, and GCF will provide a comprehensive technical cooperation package. This support will include implementation and monitoring of the GCF–GEFF Regional Programme, along with training for Cairo Amman Bank employees to help integrate climate change and gender equality considerations into lending strategies and financial practices.
Eligible borrowers will also benefit from grant incentives funded by the European Union, as well as access to technical knowledge and information about climate change mitigation and adaptation solutions.
Since 2012, the EBRD has invested more than €2.3 billion through 86 projects in Jordan, with approximately 70% of its investments supporting the private sector. The bank’s activities have included financing for MSME lending, subordinated debt, and trade finance facilities within Jordan’s banking sector.
The latest partnership between the EBRD, GCF, and EU highlights continued efforts to accelerate sustainable investment, expand green financing opportunities, and support Jordan’s transition toward a low-carbon economy.
