The World Trade Organization (WTO) and the European Investment Bank(EIB) Group have signed a memorandum of understanding to strengthen cooperation aimed at promoting sustainable trade and investment, particularly in developing economies.
The agreement, signed by Ngozi Okonjo-Iweala, Director General of the WTO, and Nadia Calviño, President of the EIB Group, establishes a partnership designed to combine the bank’s financing capacity with investment facilitation tools developed under the Investment Facilitation for Development Agreement. The signing took place on the sidelines of the EIB Group Forum held in Luxembourg.
A key component of the agreement is the EIB WTO Trade and Investment Facilitation Initiative, which will support cooperation on regulatory reforms, investment planning and project preparation to help expand trade and investment opportunities in developing countries.
The initiative builds on the Investment Facilitation for Development Agreement concluded by 128 WTO members. The accord establishes the first global framework of rules aimed at facilitating foreign direct investment by improving regulatory environments.
Under the partnership, the two institutions will work with developing countries to assess investment needs and develop operational action plans outlining reforms required to attract capital. Financing from the EIB, including blended finance instruments that combine public and private funding, may be used to support investment projects.
The initiative will begin with a pilot phase targeting selected countries in Africa and priority sectors aligned with the EIB Global’s development objectives. These include the green and digital transitions, health, education and training, sustainable growth and job creation.
“The new EIB-WTO partnership represents an important step toward mobilizing finance and strengthening the investment environment in developing countries,” said WTO Director-General Ngozi Okonjo-Iweala. “At a time when global foreign direct investment flows are lower than we need them to be, the Investment Facilitation for Development Agreement offers participating Members a practical framework to reduce risk, enhance transparency, and reinforce regulatory predictability. This partnership aligns policy reform efforts with catalytic financing, and thus promises to unlock private investment in strategic sectors, including critical minerals, digital technologies, and the bioeconomy, beginning with a pilot group of African countries and expanding over time.”
EIB Group President Nadia Calviño said the agreement would help translate policy dialogue into concrete investment.
“Europe stands firmly behind a fair and rules-based global trading system,” Calviño said. “This agreement between the European Investment Bank and the World Trade Organization Secretariat will help turn trade policy dialogue into concrete, high-impact investments. It will help partner countries attract more and better-quality investment, while supporting reform and creating new trading opportunities for EU businesses. At a time when we need them most, it contributes to win-win partnerships based on mutual respect for shared prosperity.”
The agreement also provides for joint analytical and research work between the EIB Group and the WTO Secretariat, including the exchange of insights on global trade and investment trends to support policy development and operational decisions.
