The European Bank for Reconstruction and Development (EBRD), with the support of the European Union and Austria, is boosting energy efficiency investments in Montenegro by providing a loan of €2 million to NLB Banka a.d. Podgorica for on-lending to residential homeowners.

The funds are provided through the Green Economy Financing Facility (GEFF), a programme run by the EBRD and funded by the EU and other bilateral donors, which supports citizens’ investments in high-performance green technologies, materials and solutions for privately owned residential buildings.

Beneficiaries are supported to identify and purchase energy-saving equipment such as insulation, windows, heat pumps and solar panels which in turn will reduce greenhouse gas emissions, cut energy costs and improve the homeowners’ quality of life. Beneficiaries can receive technical assistance and will receive incentive payments of up to 20 per cent of the loan value upon successful installation. 

Remon Zakaria, EBRD’s Head of Montenegro, said: “We are delighted to boost green investment opportunities for homeowners across the country, together with our commercial and institutional partners. Residential buildings account for a significant amount of CO2 emissions – that is why our funds will make a meaningful positive difference to Montenegrin citizens, their energy costs and the country’s environment.”

Yngve Engstroem, Head of Cooperation at the EU Delegation to Montenegro, said: “Investing in energy efficiency is a win-win. It improves the environment, it reduces the costs of heating in the winter and cooling in summer, buildings increase in value and provide more comfort and the savings will pay back the loan.

We are glad to support beneficiaries’ private investments with non-refundable EU money to make the programme even more attractive for citizens.”

Martin Leberle, President of NLB Bank in Podgorica, stated that he is pleased to work with institutional partners to provide new financing opportunities for their clients to improve energy efficiency.

"This will ensure that owners of the residential units have the necessary financial means for important investments, with a positive impact on our environment. In this way, they will provide more comfortable homes, and together, we are building a greener country", Leberle stated.

The EBRD is a major institutional investor in Montenegro. To date, it has invested €800 million in 86 projects in the country.