The European Investment Bank (EIB) will advance €3 billion in funding to help EU member states address the effects of the upcoming carbon tax on road transport and buildings. This amount is in addition to €4 billion already frontloaded to the Social Climate Fund, bringing the total early support to €7 billion before 2028.
These funds are intended to assist countries in managing the transition costs associated with the EU’s new climate policies, particularly those targeting emissions in transport and housing sectors.
**Why this matters**
The early release of these funds aims to ease the financial burden on households and businesses as the EU introduces its carbon pricing measures. By providing upfront support, the EIB and the Social Climate Fund seek to facilitate a smoother shift toward lower emissions and help member states meet climate goals without undue economic disruption.
Source: NewsData