EIB invests €30 million in the City of Thessaloniki for sustainable urban development and climate resilience

This article is published in association with European Investment Bank.

• New €30 million EIB financing to support Thessaloniki’s 2025–2030 investment programme.
• Urban upgrades through sustainable mobility projects, energy efficiency improvements in municipal buildings, and the renewal of public spaces.
• Strengthening climate resilience and supporting Thessaloniki’s transition as a smart and green city under the European Mission.

The European Investment Bank (EIB) today signed a new €30 million financing agreement with the City of Thessaloniki, supporting the implementation of the city’s 2025–2030 investment programme within the framework of its Climate Neutrality Plan 2030.

This marks the second direct financing operation between the EIB and the City, following their successful 2015 cooperation, which enabled the delivery of 46 urban development projects.

Contributing to the “Climate-Neutral and Smart Cities” Mission

Thessaloniki is among the 103 EU cities awarded the European Commission’s Mission Label under the initiative for 100 climate-neutral and smart cities. The new EIB financing will advance projects directly linked to the city’s Climate Neutrality Action Plan, including:

• Sustainable urban mobility initiatives,
• Energy upgrades of municipal buildings,
• Modernisation of public infrastructure and urban spaces,
• Interventions to enhance climate resilience.

The EIB works closely with the European Commission and the Climate-Neutral and Smart Cities Mission to support Mission-labelled cities in transforming their ambitious investment strategies into mature, bankable, and implementable projects. The initiative is aligned with key EU policy priorities, notably the European Green Deal, and reflects the EIB’s role as the EU’s climate bank.

“The EIB supports Greek cities in delivering investments that enhance resilience, improve citizens’ quality of life, and accelerate the transition to climate neutrality. Our cooperation with the City of Thessaloniki is a strong example of how EIB financing can underpin integrated urban development strategies,” said EIB Vice-President Yiannis Tsakiris.

“The financing provided by the European Investment Bank enables us to deliver on our development priorities, implement infrastructure projects with environmental and social value, and upgrade the functionality and aesthetics of public spaces. The path towards a climate-neutral, smart, and sustainable Thessaloniki requires integrated strategic planning, consistent mobilisation and effective use of all available funding sources, and targeted investment in areas such as building energy efficiency, infrastructure, and renewable energy. We are committed to ensuring that the projects supported by this financing facility will transform the city and tangibly improve the quality of life of our citizens,” said the Mayor of Thessaloniki, Stelios Angeloudis.

Supporting cohesion and EU policy objectives

The Region of Central Macedonia is classified among the EU’s “less developed” regions for the 2021–2027 programming period. The EIB financing contributes to strengthening economic and social cohesion by supporting targeted public investments that foster sustainable and balanced urban development.

About the EU Mission for Climate-Neutral and Smart Cities

The EU Mission for Climate-Neutral and Smart Cities, under the Horizon Europe programme, supports Europe’s green and digital transition and is aligned with the European Green Deal, the Urban Agenda for the EU, and the Clean Industrial Deal.

The Mission aims to:

• Achieve 100 climate-neutral and smart cities by 2030,
• Establish these cities as innovation hubs that can serve as models for all European cities by 2050.

The initiative brings together local authorities, citizens, businesses, investors, and regional and national stakeholders to co-create a more sustainable and digitally resilient urban future.

Background information    

The EIB Group   

The European Investment Bank (ElB) Group is the financing arm of the European Union, owned by the 27 Member States, and one of the largest multilateral development banks in the world. In 2025, the EIB Group signed €100 billion of new financing and advisory services for over 870 high-impact projects in eight core priorities that support EU policy objectives: climate action and the environment, digitalisation and technological innovation, security and defence, territorial cohesion, agriculture and the bioeconomy, social infrastructure, strong global partnerships and the savings and investment union. Beyond long-term loans for large infrastructures, the EIB Group crowds-in private investment for high-risk innovative projects and businesses, with a growing role in Europe’s markets for venture debt, venture capital, guarantees and securitisations. 

The European Investment Fund (EIF) is the subsidiary of the EIB Group specialised in providing guarantees and equity to improve access to finance for small and medium size businesses and startups across Europe. Acting as an anchor investor, through its extensive network of partnering banks and investment funds, the EIF mobilizes private investment and nurtures the ecosystem of venture capital funds to support innovative European entrepreneurs. 

In 2023, the EIF together with six member states (France, Germany, Italy, Spain, Belgium and the Netherlands) launched the European Tech Champions Initiative, a fund of funds to scale-up innovative startups. This initiative has already enabled the creation of  13 European venture capital mega-funds and scaled up 38 companies, including 11 unicorns (with more than €1 billion in capital).