EIB Greenlights €8.9 Billion Investment Drive, Expands Security and Defence Mandate, and Launches Critical Raw Materials Initiative

The EIB’s decisions reflect a broad and coordinated strategy to fortify the EU’s long-term competitiveness, sustainability, and security.

In a landmark move to reinforce Europe’s economic resilience, strategic autonomy, and security capabilities, the European Investment Bank (EIB) today announced a sweeping set of new initiatives, approvals, and expanded mandates. The measures aim to ramp up investment in critical sectors including defence and security, critical raw materials, transportation, education, energy infrastructure, water systems, and private sector development.

At the heart of the announcements is the EIB’s bold commitment to deepen its support for Europe’s security and defence sector. The EIB Board of Directors agreed to broaden its financing eligibilities in this area, aligning closely with the vision laid out by EU leaders during the Special European Council held on 6 March 2025.

“The message of European leaders is clear: we must strengthen Europe’s security and defence capabilities. Today's decisions show that the EIB is part of the solution,” said Nadia Calviño, President of the EIB Group, underlining the strategic importance of the move.

Major Boost to Security and Defence Investment

The EIB’s previously established €8 billion Strategic European Security Initiative (SESI) is being elevated to a cross-cutting and permanent public policy goal within the EIB’s operational framework. Unlike its predecessor, this new policy area will not have a predefined ceiling, offering the flexibility to adapt financing levels annually through the EIB Group Operational Plan.

This expanded scope allows the EIB to support a wide range of security-related investments, from essential infrastructure like barracks and border security installations to high-tech assets such as drones, radars, satellites, cyberdefence systems, anti-jamming technologies, and seabed infrastructure protection. Other eligible projects will include land and aerial vehicles, advanced avionics, de-mining technology, military mobility logistics, space capabilities, and strategic research.

This pivotal decision is expected to lead to a doubling of EIB investments in the security and defence sector in 2025—setting a new record for the institution and complementing key EU initiatives such as the European Commission’s “Readiness 2030” strategy and the White Paper on European Defence.

Launch of New Strategic Initiative on Critical Raw Materials

In a parallel effort to secure Europe's access to vital resources, the EIB also approved a comprehensive Critical Raw Materials (CRM) Strategic Initiative. Recognizing that access to critical raw materials is central to Europe’s green and digital transitions—as well as its aerospace and defence sectors—the new initiative will see €2 billion in dedicated financing deployed during 2025.

This initiative, which supports the EU’s Critical Raw Materials Act, will fund projects across the entire CRM value chain, both within and outside the European Union. It will focus on extraction, processing, recycling, and substitution technologies.

Key components of the new CRM initiative include:

• A new CRM Task Force to coordinate strategy and action.
• A dedicated one-stop shop to support CRM project development and pipeline management.
• Enhanced technical expertise and advisory support.
• Strengthened partnerships with national promotional banks, industry, and international allies.

€8.9 Billion in New Financing for Key Sectors

Beyond the focus on security and raw materials, the EIB’s Board approved a diverse package of new financing worth €8.9 billion for critical infrastructure and development projects across Europe and beyond. These investments span the following sectors:

Transport:

• Major rail infrastructure developments in Czechia, Germany, Spain, and Costa Rica.
• Strategic port investment in Estonia to enhance maritime logistics and trade.

Education:

• Upgrades and modernization of school infrastructure in France and Portugal, aimed at improving learning environments and energy efficiency.

Energy and Grid Infrastructure:

• Clean energy and grid enhancement projects in Andorra, Germany, and Spain, supporting the EU’s climate neutrality targets.

Water Management:

• Investment in sustainable water schemes in Kenya and Latvia to improve access, quality, and climate resilience.

Private Sector and Business Investment:

• Targeted financing for pharmacies in Spain to strengthen healthcare accessibility.
• Support for women-led and youth-led businesses in Africa, encouraging inclusive entrepreneurship.
• Expanded access to finance for SMEs in Greece, Italy, Portugal, Spain, and Bangladesh, reinforcing economic growth and job creation.

A Broader Vision of Strategic Investment

The EIB’s decisions reflect a broad and coordinated strategy to fortify the EU’s long-term competitiveness, sustainability, and security. By aligning financial instruments with strategic EU policies and addressing vulnerabilities in defence, industrial supply chains, and digital infrastructure, the EIB is positioning itself as a pivotal player in Europe’s future resilience.

President Calviño emphasized the EIB Group’s evolving role: “These investments are not just about numbers. They represent our commitment to a stronger, greener, and more secure Europe, prepared for the challenges of today and tomorrow.”

The EIB’s strategic shift comes at a time of heightened geopolitical uncertainty and growing global competition for resources, technological innovation, and industrial leadership. As the EU’s lending arm, the EIB’s proactive stance underscores the critical role of public financial institutions in driving transformational investment across Europe and its global partnerships.