The bank has provided €100m loan to Raiffeisenbak and €50m to Ceska Sporitelna. Both the loans are expected to benefit from the new SME Energy Efficiency Window with a view to supporting energy efficiency and renewable generation projects undertaken in the Czech Republic by eligible housing associations, energy service companies and other SME and Mid-Cap promoters.
The EU grant facility will be used to provide financial incentives to eligible projects as well as to finance the necessary consultancy fees and administrative costs.
The loans will also be used to support other projects carried out by SMEs and Mid-Caps in addition to targeting energy efficiency and green energy projects.
The loans have been arranged in the framework of the Green Initiative, involving EU grants of €25.2m provided by the European Commission. About 60% of the EU grants have been used to create investment incentives for final beneficiaries, while project-related technical assistance and administration fees have each been supported by 20% of the total sum.
