EIB ready to cover half of cost of internet cable under Black Sea

"The European Investment Bank (EIB) is ready to cover half of the cost of the Internet cable, which will be laid under the Black Sea, at a total cost of 45 million euros," German Foreign Minister Annalena Berbock says with reference to German media, Azernews reports.

"The Internet cable, which is planned to be laid along the bottom of the Black Sea as part of the EU's Global Gateway program, will cover Armenia and Azerbaijan and connect these countries with us. The EIB is ready to cover about half of the total costs, which will amount to 45 million euros," the minister said before her visit to Armenia and Azerbaijan.

It should be noted that the German Foreign Minister will visit Armenia on November 3 and Azerbaijan on November 4.

Earlier "The Financial Times" with reference to the documents of the European Commission, reported that the EU plans to lay an Internet cable under the Black Sea to improve relations with Georgia and reduce dependence on the lines passing through Russia. The length of the cable will be 1,100 kilometers.

The Internet cable, part of the EU's Global Gateway program, will connect Armenia and Azerbaijan with the rest of Europe. The EIB is ready to provide funding for half of the total cost.

The EIB is one of the world's largest public banks, with around EUR550 billion in assets. It operates in 118 countries, with its activities outside Europe representing only around 10 percent of its portfolio.

In 2021, the EIB provided EUR10.8 billion of financing outside the European Union, UK and EFTA. The bank is a key partner of Team Europe, investing in thousands of companies and projects across the EU and beyond.

The EIB is committed to fighting climate change and investing in sustainable growth. In 2021, the bank invested EUR94.9 billion in financing, supporting sustainable and inclusive growth in Europe and beyond.

The EIB is also working to become a development bank with a focus on high-impact interventions. In 2022, the EIB increased its financing outside the EU from EUR 7.2 billion in 2021 to EUR 9.18 billion.

The bank is also increasing its risk profile and presence on the ground through regional hubs. In January 2022, the EIB launched EIB Global, its new branch for external lending. However, its strategy remains elusive, and its head has yet to be appointed.

The EIB is committed to becoming a development bank, but it remains to be seen if it will be able to make the transformation.