A new joint program announced by the European Investment Bank (EIB) and the Central American Bank for Economic Integration will allow for hydropower project investments in six Latin American countries.
The initiative was created to help reduce regional dependence on fossil fuel imports and decrease carbon emissions, with more than US$500 million to be spent on renewable energy projects in Honduras, Nicaragua, El Salvador, Guatemala, Costa Rica and Panama.
Also benefitting from the funding are wind, geothermal and photovoltaic forms of power generation, EIB said.
"Considerable investment is needed to harness the potential of renewable energy and more efficiency energy use to reduce carbon emissions and provide energy essential for economic growth," EIB Vice President of Latin American Lending Magdalena Alvarez Arza said. "The European Investment Bank is committed to supporting long-term investment in sustainable energy around the world and enabling low-carbon energy investment in Central America."
The program is similar to one launched between the EIB and Central American Bank for Economic Integration in 2011, which supported hydropower investments in Costa Rica.
For more business news, visit here.