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Sustainable infrastructure

The EBRD and sustainable infrastructure

The EBRD’s work in sustainable infrastructure encompasses the municipal infrastructure, transport, and energy sectors.

In the municipal sector, the EBRD seeks to support local governments and private operators in the delivery of essential urban services; notably in water and wastewater, public transport, urban mobility, street lighting, solid waste management, district energy, buildings, social infrastructure, and energy efficiency.

With transport, we aim to promote safe, secure and sustainable transport systems that balance economic, environmental and social needs.

The EBRD's vision for the energy sector is of a partnership between industry, governments and consumers that delivers the essential energy needs of societies and economies in a manner that is sustainable, reliable and at the lowest possible cost.

The municipal, transport and energy sectors fall under the EBRD’s Sustainable Infrastructure Group (SIG), which represents approximately one third of the Bank’s annual business activity.


The EBRD is committed to the development of safe, sustainable and efficient transport systems. Such systems underpin economic growth and well-functioning markets by increasing access, inclusion, economic diversification, international trade and regional integration.

The EBRD’s key strategic objective in the transport sector is to develop transport infrastructure and services that are viable, green, resilient, well-governed, integrated and inclusive and which, in turn, can drive sustainable development. The cornerstone of the EBRD’s transition impact in the transport sector is supporting market-based reform, commercialisation and the development of low carbon and resilient transport systems.

To achieve this vision, we finance well-structured public and private sector projects across all sectors: railways, roads, aviation, maritime and logistics, offering a diverse range of financial products to meet the financing needs of our clients.

Alongside investments, we place emphasis on policy dialogue, supported by Technical Cooperation (TC), to engage on sector reform and the development of greener transport systems.


The EBRD is committed to improving municipal infrastructure, in line with its mandate to build open and sustainable market economies. The municipal sector covers investments and services under the ultimate responsibility of local governments, whether provided by public or private entities.

Our core objective in the municipal sector is to promote greater efficiency and higher quality in the provision of municipal services through investment and the promotion of independent, well‑managed and financially sustainable operations, based on commercial principles and in a sound and market‑oriented institutional and regulatory framework.

The cornerstones of the EBRD’s impact on transition in the municipal sector are decentralisation, commercialisation, energy efficiency and environmental and social improvement. Central to its activity, the sector is mobilising large TC grant funds to promote project implementation, capacity development and institution building.


The EBRD works throughout the energy sector value chain to promote efficiency and stimulate innovative ways to manage and reduce electricity demand. In addition, in the context of the growing climate challenge, the EBRD actively supports the transition to a low-carbon energy sector as a key priority.

To this end, we are increasing support for renewable energy sources (solar PV, wind, hydro, etc.) combined with grid strengthening, rethinking energy systems in the context of new technologies, like smart grids and hydrogen, and promoting demand-side efficiency and prices that reflect all costs, including externalities.

The EBRD also supports the production and distribution of cleaner energy through energy and resource efficiency improvements, such as reducing gas flares, investing in cleaner fuels and switching from coal to gas fuels.

We are also pursuing the expansion of domestic and cross-border energy markets, price liberalisation and broader private sector participation to build deep and liquid energy markets. In this context, the EBRD supports energy markets’ interconnection to promote greater regional integration than ever before. In prominent energy-producing countries, the EBRD also supports regional economic diversification and promotes prudent management of energy resources.