EIB Launches First Fully Green Securitisation in Poland with Inbank to Boost Solar Financing

Groundbreaking partnership under InvestEU enables over €160 million in new green loans, promoting renewable energy adoption and advancing EU’s energy transition goals.

The European Investment Bank Group (EIBG) has partnered with Inbank, an Estonian fintech company, to launch its first synthetic securitisation backed by solar panel loans for private households in Poland. This innovative financial arrangement marks a milestone in Poland’s renewable energy sector and is a significant step in the EU's efforts to accelerate the green transition.

Empowering Green Investments in Poland

The agreement, Inbank’s inaugural securitisation, enables the bank to allocate up to PLN 701 million (approximately €160 million) in new loans over the next three years. These loans will support private individuals in Poland to install solar panels and heat pumps, driving a shift towards sustainable energy solutions.

EIB Vice-President Teresa Czerwińska emphasized the importance of the initiative, saying, “This partnership reflects the EIBG’s commitment to supporting the energy transition by empowering private individuals. It is a pioneering step under InvestEU, combining innovative financing with environmental goals.”

Structure of the Agreement

The securitisation features a robust and innovative financial structure:

1. EIF Guarantees:

The European Investment Fund (EIF) provides protection on the senior tranche worth PLN 549 million, with half counter-guaranteed by the EIB.

It also protects PLN 76 million in the riskier mezzanine tranche, backed by the European Commission’s InvestEU programme.

Junior Tranche:

The most high-risk segment, worth PLN 10 million, is retained by Inbank.

Synthetic Features:

The structure includes synthetic excess spread and pro-rata amortisation for the senior and mezzanine tranches, ensuring performance-based management.

Broader Impact and Strategic Goals

This securitisation aligns with key EU initiatives, including REPowerEU, which aims to diversify energy supplies and strengthen the EU’s strategic autonomy. Projects supported by the loans will reduce CO2 emissions, enhance air quality, and advance climate change mitigation efforts.

EIF Chief Executive Marjut Falkstedt noted, “This transaction not only injects substantial green funding into Poland but also exemplifies effective collaboration between the EIB, EIF, and European Commission under InvestEU.”

Katarzyna Smyk, Head of the European Commission Representation in Poland, reiterated the value of cross-border cooperation in achieving the EU's renewable energy and sustainability targets.

Inbank’s Role in the Green Transition

Inbank’s Management Board Chairman Priit Põldoja highlighted the significance of the agreement for the company’s growth strategy. “This transaction strengthens our capital position and market competitiveness while allowing us to focus on green financing. We are proud to lead EIBG’s first entirely green securitisation in Poland,” he stated.

What is Synthetic Securitisation?

Synthetic securitisation involves transferring the credit risk of a loan portfolio to a protection seller, while the portfolio itself remains on the bank’s balance sheet. This method provides capital relief, enabling the bank to extend more loans.

This landmark securitisation not only advances Poland's renewable energy adoption but also reinforces the EU's commitment to climate action, sustainability, and financial innovation. It sets a precedent for future green financing projects within the EU, bridging the gap between environmental goals and private sector participation.