You may already have heard (or maybe not) about the project "Klimabank an nohaltegt Wunnen", which should allow the development of sustainable and non-energy-efficient housing in Luxembourg.

And since January 5 2017, this pack for sustainable housing has been put in place. But overall, the agreement surrounding the Klimabank agreement was signed on 18 January 2017 between the Ministries and some banks in Luxembourg.

What is Klimabank?

It is also “climate bank” but in reality it is not a banking institution. Klimabank is a system of financial help which should allow the energetics construction and renovation for sustainable housing. It should also promote the use of renewable energies.

The entire project should aim to improve the quality of life of residents and to preserve the environment by reducing CO2 emissions. This is the climate objective that the Luxembourg Government has set itself in its sustainable development policy.

How does it work?

Klimabank will make it possible to borrow at a reduced or zero rate for renovation projects aimed at improving the energy consumption for housing more than 10 years old.

he zero-rate loan is reserved for households which comply with the socio-economic conditions of the individual housing aid scheme (amended law of February 25 1979 concerning housing aid). The capital will be limited to €50,000 over 15 years.

The reduced rate climate loan will be available to any natural or legal person owning a property for more than 10 years. The borrowed capital will be limited to €100,000 over 15 years.

More details on loan terms on the national myenergy site.

How to benefit?

On January 18, 2017, six banks signed the agreement around Klimabank and its climate loans at reduced or zero rates: the Bank and the State Savings Bank (BCEE or Spuerkeess), BGL BNP Paribas, The International Bank in Luxembourg, the Fortuna Bank, ING Luxembourg and the BCP Bank.

Pierre Gramegna, Minister of Finance, welcomed the collaboration of the banking sector. He is convinced that financial players have an important role in the transition of energy and that their support is essential in the policy of sustainable development in the Grand Duchy of Luxembourg

Do you have questions about Klimabank? Contact the one-stop service for housing assistance.

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