The European Investment Bank (EIB) has decided to open a representative office in Jakarta to be the focus of EIB’s funding activities in the Southeast Asia and Pacific region.
“Indonesia is a priority country for the EIB. Because of that, the management committee has approved a regional representative office in the Southeast Asia-Pacific region (in Jakarta),” said the Head of EIB Office in Jakarta, Sunita Lukkhoo, on Friday 18th February.
Lukkhoo explained that the potential for financing sustainable development projects, which are the government’s priorities, was the main reason for the EIB choosing Indonesia. This is because the EIB is currently focussing on increasing its sustainable financing portfolio.
“The EIB is here to support external actions and help address climate change issues,” he added.
Although the shares of the multilateral development bank are fully held by European Union countries, the EIB has been present in financing projects in Southeast Asian countries for 25 years. Various priority infrastructure projects of Southeast Asian countries have received funding from the EIB.
Meanwhile, Vice President of the EIB Gelsomina Vigliotti explained that currently, his team is focussing on working on development projects oriented towards climate issues. The EIB targets that, by 2025, financing to the sustainable development sector should reach 50 percent of the total financing portfolio.
“The EIB wants to be seen as a climate bank,” he said.
To realise this target, apart from relying on financing from internal sources, the EIB is ready to mobilise funding from countries or related stakeholders. This will be done by offering the financial advantages provided by the EIB.