€50M EIB loan to fund circular business models in the Netherlands

01 Aug 2019 | Network Updates | Update from European Investment Bank
These updates are republished press releases and communications from members of the Science|Business Network

he European Investment Bank and Boels Rental have signed a €50 million loan agreement in Sittard, the Netherlands. The EIB loan to the project is backed by the European Fund for Strategic Investments (EFSI), main pillar of the Investment Plan for Europe, also known as the Juncker Plan.

The financing will be used by Boels to acquire new vehicles, machinery and related equipment for its rental and leasing activities. Through a greater availability of the necessary machines, Boels supports a circular business model in which these machines are no longer bought, but leased or rented. This increases the efficient use of the machines and reduces pollution due to CO2 emissions, as well as the number of machines written off.

“We are glad to support Boels in allowing construction companies to deliver top of the line results using climate friendly solutions.” says EIB Vice-President Emma Navarro. “The EU bank is the largest financier of climate action projects worldwide and we will continue financing circular businesses contributing to the transition to a low carbon society. Strengthening the circular economy is one of the most powerful tools to improve resource efficiency, foster sustainable economic growth and reduce our impact on the climate and environment.”

Karmenu Vella, European Commissioner for Environment, Maritime Affairs and Fisheries, said: “I am pleased that the Juncker Plan is supporting a family business in the Netherlands which promotes the circular economy model. The rental and leasing industry offers a credible alternative to purchasing outright, which benefits both consumers and the environment. I encourage more companies with green business models to apply to the EIB for financing.”

“The current consumption model is rapidly depleting our natural resources. That is why the circular business model is increasingly seen as one of the solutions in combating resource scarceness and climate change,” adds CEO Pierre Boels.

This communication was first published 30 July 2019 by the European Investment Bank.

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