• Lisbon, the first EU municipality to benefit directly from EU support under the Investment Plan for Europe is to receive a EUR 90m investment, completing the EUR 250m framework loan approved by the EIB
• The EU financing will enable the upgrading of public infrastructure in the Portuguese capital to enhance flood prevention, as part of the regeneration framework loan initiative
• The loan is backed by EFSI, the financial pillar of the Investment Plan for Europe

The European Investment Bank (EIB) and the Municipality of Lisbon have signed the last EUR 90 million of a EUR 250 million framework loan under the Investment Plan for Europe, to improve urban regeneration in the city. The project has a strong focus on social inclusion and it will also help Lisbon to tackle climate change.

The EU Bank’s financial support will be partly channelled towards the upgrading of the municipal drainage system and will contribute to strengthening Lisbon’s resilience to climate change, better preparing the city for severe weather events, such as floods and storms.

The EIB loan is guaranteed by the EU budget. The Project financed by this EIB framework loan will have a direct positive impact on the lives of people living and working in Lisbon. It includes urban infrastructure in selected areas of the city to improve the quality of public spaces and to complete the regeneration of the riverfront of the Portuguese capital.

EIB Vice President, Ricardo Mourinho Félix said: “Sustainable development investment in cities, helps to create cleaner and more liveable environments for urban populations. The EUR 90 million loan for the municipality of Lisbon will assist the city in tackling climate change and better prepare against severe weather events, such as floods and storms. This EU financing comes at a time when cities are dealing with a number of key challenges and the EIB is proud to be part of the solution, with visible and tangible benefits for the citizens of Lisbon today but also for future generations.”

Paolo Gentiloni, European Commissioner for Economy, said: “Extreme weather conditions are causing death and destruction in Portugal and many other parts of Europe this summer: they are a stark reminder of the urgent need for action to mitigate the growing impact of climate change. Increasing the climate resilience of our cities is a key priority and this latest EU support for Lisbon is particularly important in this context.”

Mayor of Lisbon, Carlos Moedas said: “This EIB support will allow us to develop one of the most critical projects in our city to mitigate one of the most serious consequences of climate change: the floods.  We want to strengthen the strategic partnership of the Municipality of Lisbon with the EIB in areas as decisive as sustainability and climate action, blue economy, innovation and social housing”.

European Commission backing

The Investment Plan for Europe was launched on the initiative of the European Commission in 2014 to support investments and bring back jobs and growth to Europe. It allows its strategic partner, the EIB, to take on innovative and higher risk projects.

A total of 48 projects and financial agreements have been signed in Portugal under the Investment Plan for Europe, with a total financing of EUR 4 billion, expected to mobilise more than EUR 13.5 billion.

For additional information about the Investment Plan for Europe in Portugal, please click here Investment Plan: Portugal | European Commission (europa.eu).