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The European Investment Bank and AB Šiaulių bankas finance the renovation of houses in Lithuania

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In August 2015, AB Šiaulių bankas and the European Investment Bank (EIB) signed a EUR 68 million operational agreement under the JESSICA II fund, for the refurbishment and modernisation of around 350 multi-apartment buildings in Lithuania. In addition, Šiaulių bankas agreed to provide EUR 30 million of own funds for the refurbishment of a further 125 multi-apartment buildings.

 

According to the Public Company Housing Energy Efficiency Agency of Lithuania, currently 1280 old multi-apartment buildings are undergoing modernisation, with a total of EUR 240 million worth of agreements made in the construction sector.

 

 

Background

 

In May 2015, the EIB was appointed manager of the EUR 150 million JESSICA II fund, destined towards energy efficiency modernisation of residential buildings under the Lithuanian government's “Multi-apartment Buildings Modernisation (Renovation) Programme” (read more). In its first agreement with a financial intermediary under the 2014-2020 EU regulations for Decentralised Financial Instruments, the EIB selected AB Šiaulių bankas for the disbursement of EUR 68 million in preferential loans to home owners. As in previous operations, the residents will pay a fixed interest rate of 3% annually for the modernisation loans.

 

 

For further information, please visit the relevant EIB website.

 

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