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EIB Approves €430M Loan for Canal de Isabel II to Upgrade Madrid’s Water Infrastructure

The European Investment Bank (EIB) has approved a €430 million loan to Canal de Isabel II, the public sector entity responsible for managing the integrated water cycle in the Community of Madrid. The loan will support investments aimed at modernizing and expanding the region’s water supply and wastewater treatment infrastructure.

This funding will directly benefit residents by improving the region’s water supply, enhancing efficiency, and boosting climate resilience.

Water Supply and Management Improvements
The projects to be financed will improve the coverage, quality, and resilience of water services in the Madrid region. Key initiatives include enhancing drinking water production, reinforcing networks and pipelines to reduce water losses, digitalizing infrastructure management, increasing energy efficiency, and expanding the wastewater reuse network. All investments will be concentrated within the Community of Madrid.

In 2024, the EIB Group made record investments in water management infrastructure in Spain, providing up to ten times more than its average annual investment in previous years.

This operation will significantly contribute to the EIB’s climate action strategy, reinforcing its role as the EU’s Climate Bank.

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