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Akbar Novruz

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The European Bank for Reconstruction and Development (EBRD) has reported that its active project portfolio in Azerbaijan stood at €892 million at the end of June 2026, spanning 36 projects across key sectors of the economy, AzerNEWS reports.

According to the bank's latest update, the value of its operating assets in the country totals €721 million, while the EBRD's participation in the current portfolio is estimated at 1%.

Sustainable infrastructure remains the dominant area of investment, accounting for 90% of the portfolio. Financial institutions represent 7%, while the corporate sector makes up the remaining 3%. The private sector accounts for 41% of the portfolio's total value.

Since launching operations in Azerbaijan, the EBRD has invested €3.748 billion in the country's economy, with €3.527 billion already disbursed across 202 projects.

One of the bank's key priorities remains supporting Azerbaijan's transition to a low-carbon economy through renewable energy development and green infrastructure.

Speaking in a recent interview with Trend, Maya Hennerkes, Managing Director of the EBRD's Environment and Sustainable Development Department, said Azerbaijan possesses significant untapped potential for green transformation.

According to Hennerkes, the EBRD has already financed renewable energy projects with a combined generation capacity of approximately 1.2 gigawatts (GW).

"We expect that these investments will reduce carbon emissions by approximately 600,000 tonnes per year. In addition, the electricity generated will provide around 300,000 households with clean energy. Replacing diesel generators with renewable energy sources has a positive impact on people's health and the social sphere in general," she said.

Hennerkes also highlighted the EBRD's role in helping Azerbaijan establish a competitive auction system for utility-scale renewable energy projects.

"We have participated in all utility-scale green energy projects and assisted the government in establishing an auction system for these projects. This increases transparency and creates conditions for attracting new investors who feel more confident investing in Azerbaijan's energy sector," she added.

The EBRD has identified support for renewable energy, sustainable infrastructure and private sector development as central pillars of its long-term strategy in Azerbaijan, in line with the country's broader efforts to diversify its economy and expand clean energy generation.