The European Bank for Reconstruction and Development (EBRD) and the Association of European Development Finance Institutions (EDFI) are joining forces to strengthen the impact of their work in addressing urgent and immediate recovery priorities as well as long-term challenges like climate change.
In a Memorandum of Understanding, signed today by EBRD President Odile Renaud-Basso and EDFI Chairman Bruno Wenn, in the presence of Koens Doens, European Commission Director-General for International Partnerships, and the leaders of five European development finance institutions (DFIs), the two parties commit to intensifying collaboration among European DFIs, with a strong private-sector focus.
Enhancing the means of cooperation and leveraging each other’s strengths in a complementary manner will create efficiencies and strengthen the impact, effectiveness and sustainability of joint engagements, the signatories said. This increased collaboration will benefit partner countries, clients and shareholders alike.
EBRD President Renaud-Basso said: “We are very proud to sign this accord today. It paves the way for deepening how we partner for impact with EDFI and the European development finance institutions as fellow members of a multi-pillar development architecture. As a multilateral institution with a European backbone, the EBRD stands ready to deploy its financial means, its expertise and the support of its shareholders to support sustainable and inclusive development. Together, we are stronger.”
“This agreement is a milestone in our collective effort to deepen collaboration between development finance institutions, including as part of the Team Europe effort,” said Bruno Wenn, Chairman of EDFI. “The commitments expressed represent the start of a journey that will deliver benefits for the EBRD and the European DFIs, for our stakeholders, and for clients in developing countries. It is also a journey that we encourage others to join us on.”
On behalf of the European Commission, Koens Doens added: “I welcome the Memorandum of Understanding between the EBRD and EDFI, two important implementing partners of the European Commission. Strengthened cooperation among European development finance institutions is key to effectively address the challenges facing Europe and our partners across the globe: building a recovery from COVID that is green, digital and inclusive and focussed on achieving the SDGs. I am convinced that a strong ‘Team Europe’ approach will enable us to rise to the challenges faster and more efficiently and effectively.”
The EBRD was set up in 1991 to support the transition to market economies in countries that were committed to applying the principles of multiparty democracy. Following its successful establishment in central and eastern Europe the Bank expanded its activities over the years and today has 71 shareholders from all over the world and engages in 37 economies in Europe, Asia and Africa, with a unique combination of investment, policy dialogue and advisory services. By 2025 the EBRD aims to become a majority green bank.
The Association of European Development Finance Institutions (EDFI) promotes the work of 15 bilateral development finance institutions that invest in the private sector in emerging and frontier markets to create jobs, boost growth and fight poverty and climate change. Since EDFI was set up in 1992, its members have invested in approximately 15,000 projects, and they now manage a combined investment portfolio of US$50 billion across financial services, clean energy, industry and many other sectors in more than 100 countries. For more information, visit www.edfi.eu.