(Source: European Investment Bank)
- EIB loan to support Czech-Moravian Guarantee and Development Bank (ČMZRB), unlocking new sources of financing for municipal and regional level infrastructure projects.
- The operation supports the implementation of the ČMZRB’s newly developed sustainable and resilient urban development programme.
- The EIB loan will contribute to the faster recovery of the Czech economy from the side effects of the COVID-19 pandemic.
The European Investment Bank (EIB), the bank of the European Union, will provide €191 million to the Czech-Moravian Guarantee and Development Bank (ČMZRB), the Czech Republic`s promotional bank, to support financing of municipal and regional infrastructure development projects across the Czech Republic.
The investment from the EU Bank will support CMZRB`s newly established urban programme for sustainable and resilient development of municipalities and regions in the country and fuel faster recovery of Czech economy from the COVID-19.
More accessible financing provided by the EIB will be available for renovation, upgrade, replacement and reorganisation of key urban infrastructure across the country (including social, cultural, administrative buildings), improvements of environmental and energy efficiency of public buildings, as well as improvement of transport and healthcare infrastructure.
Lilyana Pavlova, Vice President of the EIB, who is in charge of operations in Czech Republic said: “Continued, sustainable regional development and high quality regional and municipal level infrastructure is key for improved quality of living and doing business for our citizens. The European Investment Bank is very happy to support ČMZRB and provide finance for its urban development program as this would translate in better transport, higher quality of communal services and accelerate COVID-19 of the national economy. We are very grateful for the good cooperation with ČMZRB and the opportunity to contribute to the economic and social development of Czech Republic.”
Jiří Jirásek, Chairman of the Board of Directors and CEO of the Czech-Moravian Guarantee and Development Bank, said: “Current quite turbulent times show us the increased importance of stable and long-term support of Czech regions and urban areas across the country. The newly signed EIB loan is an excellent example of the common effort addressing identified regional needs, efficiently transformed into concrete action. I am pleased by the opportunity to assist in covering infrastructure gaps, together with our long-term and renowned partner which is the European Investment Bank Group. Let me thank the entire EIB team for the continued and reliable support.”
The EIB loan supports efforts of the Government of the Czech Republic to revive national economy in the aftermath of COVID-19 pandemic by stimulating municipal and regional level infrastructure projects.
With investment in municipal and regional healthcare infrastructure the project also contributes to increased general resilience of Czech Republic to major public health crisis such as COVID-19 recovery.
About the ČMZRB
The Czech-Moravian Guarantee and Development Bank (ČMZRB) is a specialised state-owned banking entity that aims to contribute to the efficient economic and social development of the Czech Republic and its regions. At present, the ČMZRB’s main mission as the national promotional bank is to facilitate small and medium businesses’ access to financing through specialised banking products. Nevertheless, one of the key long-term goals of the ČMZRB is to provide support to Czech regions and municipalities by contributing to the development of their infrastructure. The ČMZRB is the main provider of financial instruments in the Czech Republic funded by both national resources and EU funds, while also cooperating closely with the EIB Group.