A €24bn financial funding tool has been made available by the EU for businesses to help finance the transition to a circular economy model.
As the COP21 climate negotiations conclude in Paris the European Commission and the European Investment Bank (EIB) have announced changes to EU financial tools to support the realisation of EU climate goals.
The EIB’s InnovFin funding tool which was originally designed to support innovation in the industrial and technological sector, has been re-purposed to support the EU’s new circular economy package. Eligibility rules have been broadened and now apply to ‘higher-risk, yet innovative’ sustainable business models.
Higher-risk, yet innovative sustainable business models can access credit through InnovFin – an EU finance support facility under the Horizon 2020 research programe.
InnovFin Advisory, a financial advice service in the EIB, will also support mid-sized businesses in making their circular economy projects investment ready in order to benefit from the Mid Cap InnovFin financial products.
The aim is to make the transition to the circular economy easier for small and medium businesses across Europe.