IFC, the private sector arm of the World Bank Group, and Raiffeisen Bank Hungary reached a milestone in energy efficiency financing with the renovation of 300 apartment blocks in Hungary.

Since February 2006, IFC and Raiffeisens programme has offered specialised packages to upgrade windows, insulation, and heating networks for apartment blocks. A year later, the programme has supported the renovation of more than 18,000 flats, improving living conditions for more than 50,000 people.

In less than a year, Raiffeisen and IFC have made 300 energy efficiency loans to Hungarian apartment owners with a total investment volume of more than USD 60 million.

IFC and Raiffeisen Hungarys cooperation in the renovation of housing blocks dates from 2002. Roland Kerekes, Deputy Director of the Raiffeisen Hungary’s Municipal Department, said: "With IFCs guarantee backing our loans, we took the leap and found very quickly that investing in energy efficiency is good business and that the repayment rates are very good."