BAKU, Azerbaijan, March 25. The European Bank for Reconstruction and Development (EBRD) is stepping up support for green investment in Bosnia and Herzegovina’s residential sector with a new financing package for Mikrofin, the country’s largest microfinance institution, Trend reports via the Bank.
The EBRD will provide a senior loan of up to €4 million to Mikrofin Banja Luka under the Western Balkans Green Economy Financing Facility (GEFF) III – REPower Residential Programme. The entire сумму will be directed toward energy efficiency and renewable energy projects, with 100% of the financing classified as green.
The funds will be on-lent to households and housing associations to support the adoption of high-performance energy-efficient technologies and eligible renewable energy solutions, helping reduce energy consumption, cut carbon emissions and lower utility costs.
The initiative targets the residential sector, one of the most energy- and carbon-intensive segments of the Western Balkans economy, and aims to accelerate the region’s green transition by promoting technologies that exceed current national standards and enhance long-term climate resilience.
This marks Mikrofin’s fourth project under the GEFF framework, reinforcing its role as a key partner for the EBRD in Bosnia and Herzegovina. The institution has already channelled €6 million to end-borrowers under previous GEFF programmes.
The loan will be supported by technical cooperation and investment incentives funded by the European Union through the Western Balkans Investment Framework, as well as the Japan-EBRD Cooperation Fund. The package includes capacity-building support, market development initiatives and financial incentives to encourage households to adopt green technologies.
Since launching operations in Bosnia and Herzegovina in 1996, the EBRD has invested more than €3.4 billion across 262 projects in the country.