The European Bank for Reconstruction and Development (EBRD) invested a record €2.8 billion across 65 projects in seven economies in the southern and eastern Mediterranean region—Egypt, Iraq, Jordan, Lebanon, Morocco, Tunisia, and the West Bank and Gaza—in 2025, the bank reported in a statement. The figure made SEMED the third-largest regional recipient of EBRD investment last year and followed total investment of €2.4 billion in those economies in 2024. All told, 70 percent of the EBRD’s investment in the region went to the private sector. The EBRD also mobilized a record €747 million of private investment in the region in 2025, up from €514 million the year before.
Egypt remained one of the Bank’s largest economies of operation, with a record €1.3 billion of investment across 26 projects last year. Seventy percent of that investment went to the private sector, 60 percent took the form of green finance, and almost half went to projects with a gender equality component. To help meet rising demand for electricity and integrate additional renewable energy capacity, the EBRD provided €200 million to the Egyptian Electricity Transmission Company, the first investment in Egypt’s electricity grid under the country’s NWFE initiative.
In Jordan, the EBRD invested €201 million across 10 projects in 2025. Eighty-six percent of that investment went to the private sector, over 44 percent was green finance, and 80 percent supported women and young people’s participation in the workforce. Following the EBRD’s approval of Iraq’s economy of operation status in 2025, the Bank launched its first investment there, providing a $100 million (roughly €85 million) trade finance facility to the National Bank of Iraq, the country’s largest private bank, to help boost import and export activity.
EBRD investment in Morocco reached an all-time high of €895 million in 2025, up from €530 million in 2024. Thirty-three percent of this investment went to the private sector and over 80 percent was green finance. A €300 million loan to ONEE will strengthen the utility company’s financial resilience and represents the region’s first sustainability-linked loan in the energy sector. The EBRD delivered strong investment in Tunisia in 2025, with €398 million being invested across 12 projects, including a first €50 million tranche of a development-linked loan of up to €190 million to Tunisie Telecom to help the company upgrade its mobile network from 4G to 5G.
The EBRD provided €28 million through six transactions in 2025 to support the Palestinian economy, bringing total cumulative financing since beginning operations there in 2017 to €185.5 million. The region continued to see strong donor support, including from the EU, the EBRD’s SEMED Multi-Donor Account, the Green Climate Fund, the Global Concessional Financing Facility, and other bilateral and multilateral donors.
