- Investment will focus on green and inclusive growth, leveraging digitalisation and innovation
- EBRD also prioritising investment in housing – particularly affordable housing
- New strategy will help prepare for crises and demographic changes
The Board of Directors of the European Bank for Reconstruction and Development (EBRD) has approved the new Real Estate Sector Strategy 2025-29, setting out the Bank’s strategic priorities in this area over the next five years.
The new strategy aims to dismantle barriers and drive private-sector growth across the EBRD’s regions with a focus on green and inclusive growth, fostering agility against the backdrop of geopolitical and demographic shifts, and leveraging megatrends like digitalisation and innovation.
The strategy promotes investment in impact through five strategic priorities:
- closing of the housing gap through high-quality residential assets, policy engagement and increases in the availability of rental homes
- investment in the green transition through support for net-zero goals and green buildings and the preparation of clients for climate-related risksstrengthening of human capital resilience through the development of critical skills, support for urban regeneration and the promotion of accessibility for all
- preparation for crises and demographic change through the exploration of innovative industrial and logistics assets, the strengthening of regional supply chains and a focus on the reconstruction of critical real estate infrastructure after crises
- development of capital markets through the fostering of diverse vehicles and approaches, the strengthening of market resilience, and the promotion of green financing and sustainability-linked loans and bonds.
Such initiatives are of pivotal importance in terms of catalysing change, driving economic prosperity, bolstering private-sector growth and achieving the UN Sustainable Development Goals. The strategy is designed to dovetail with the EBRD’s policies and other sectoral and country strategies, ensuring a harmonious contribution to the achievement of the Bank’s ambitious goals.
Vlaho Kojaković, the EBRD’s Head of Real Estate, said: “Our new strategy embarks on a transformative journey to reinvigorate the real estate sector across the EBRD’s regions. With the new strategy, we will be exploring and investing in new and innovative subsectors and products, ensuring that our projects not only foster economic growth, but also enhance social inclusion, environmental sustainability and resilience.”
To date, the EBRD has supported over 230 projects in the real estate sector, with investment totalling almost €5 billion. The new strategy will replace the previous Property and Tourism Strategy, which was adopted in 2019.