The European Commission and partner development finance institutions have signed the Global Green Bond Initiative (GGBI) Fund, a new public-private investment tool under the European Union’s Global Gateway strategy intended to mobilise up to EUR 20 billion of private capital for sustainable infrastructure projects in low and middle-income countries. The fund aims to unlock up to EUR 3 billion in green bonds in partner countries and will invest exclusively in primary market issuance, prioritising first-time issuers including governments, local authorities and businesses. At least 20% of investments will target the world’s least developed countries, with support for bonds issued in both local currency and euro. The structure is expected to crowd in up to EUR 2 billion from European and international private investors, leveraging around EUR 1 billion in equity from public investors, including close to EUR 800 million from a consortium led by the European Investment Bank with the European Bank for Reconstruction and Development and development banks from Spain, Italy, the Netherlands, Germany and France. The Commission will provide credit protection to the consortium through its European Fund for Sustainable Development Plus (EFSD+) Guarantee, and Amundi will manage the fund. Additional equity contributions are expected from the Green Climate Fund once documentation is finalised later in 2026.