Skip to content Skip to Search
Skip navigation

UAE development bank in $27m SME solar energy drive

Emirates Development Bank solar energy Wam
Ahmed Mohamed Al Naqbi, CEO of Emirates Development Bank, said the goal is to encourage businesses of all sizes to transition to more sustainable energy solutions

State-run Emirates Development Bank has launched a solar energy finance programme to support micro, small, and medium enterprises (SMEs) in the UAE to overcome cost barriers.

The initiative will allocate AED100 million ($27.22 million) to support the adoption of green energy solutions, focusing on solar energy initiatives, the UAE state-owned Wam news agency reported.

The programme offers medium- and long-term loans and working capital of up to AED5 million, mainly for solar energy projects.

This includes support for technology providers, equipment suppliers, energy consumers across various sectors, and other related energy initiatives such as electricity, hydrogen production and use, waste management, and water plants.

Ahmed Mohamed Al Naqbi, CEO of Emirates Development Bank (EDB), said the programme will offer a “competitive” source of financing to help UAE companies transition towards clean and sustainable energy solutions.

“This will reduce dependence on non-renewable sources and address climate change. Our goal is to encourage businesses of all sizes to transition to more sustainable energy solutions and help develop major new renewable energy projects.

“In the race to net zero, no one can be left behind,” Al Naqbi stated.

EDB offers up to eight years-long tenor loans for structured finance projects and solar panels, with grace periods of up to six months.

Under the scheme, the bank will provide a 100 percent loan-to-value ratio, capex funding for solar panels, as well as greenfield and brownfield structured project financing.

Approved contractors of solar panels will gain access to finance, allowing them to manage cash flow, invest in new projects, or cover their operating expenses.

EDB is mandated to approve AED30 billion in financing support to 13,500 companies within its five priority sectors – renewables, food security, manufacturing, technology and healthcare – by 2026.

Dubai’s largest lender, Emirates NBD launched a sustainable finance framework on Wednesday, setting out its plan to expand its involvement in this area across all divisions, in both its regional and international markets.

The UAE will host the Cop28 conference in Dubai from November 30 to December 12.

Latest articles

Terminal, Railway, Train

Alstom to upgrade driverless transit system at Jeddah airport

French train maker Alstom will upgrade the automated and driverless passenger transit system at King Abdulaziz International Airport, as the Jeddah airport aims to receive 114 million passengers by 2030. As part of the contract, Alstom will design, engineer, supply, integrate, test and commission a complete system upgrade of its Innovia automated people mover (APM) at the airport’s terminal […]

The Al Dhafra solar PV project. Ewec plans to increase Abu Dhabi’s solar production capacity to 7.6 GW by 2030

Abu Dhabi to generate 50% power from green sources by 2030 

Abu Dhabi plans to generate more than half of its electricity from renewable and clean energy by 2030, a senior Emirates Water and Electricity Company (Ewec) official has said. The state-owned entity is intensifying the emirate’s solar energy production plan to 7.6 gigawatts (GW) by 2030, the UAE state-run Wam news agency reported, quoting CEO Othman Juma […]

An Acwa Power solar facility in Saudi Arabia. The Bank Of China loan will help finance its solar projects in Uzbekistan

Acwa Power takes China bank loan in first for Saudi Arabia

Saudi energy major Acwa Power has secured an $80 million loan from the Bank of China as the appeal of the Chinese Renminbi as a trade currency gains traction in the GCC. Acwa Power, the world’s largest private water desalination company and a first mover into green hydrogen, has received the equity bridge loan to […]

Solar power panel

Cost of Xlinks Morocco-UK project balloons by a third

The cost of an ambitious project to deliver green energy from the south of Morocco to power homes in the UK has ballooned by more than a third to $30 billion. Xlinks First is behind the Morocco-UK renewables project, which would construct the world’s longest high-voltage direct current (HVDC) subsea power cable between the North […]