NRW.BANK provides municipalities with low-interest loans and planning certainty to aid the expansion of fibre optic networks
Fast internet for everyone: NRW.BANK’s new loan offering assists municipalities with subsidised fibre optic expansion. The aim is to speed up the NRW-wide expansion by 2030, even in regions where investments are not economically viable. The loan with a fixed interest rate of 0.5 percent complements the funding provided by the federal government and the federal state as per the federal appeal to promote infrastructure projects (Bundesförderaufruf für Infrastrukturprojekte) dated January 23, 2025.
“Whether you’re in the office, a café or at home, fast internet is indispensable for our modern lives,” says Economics and Climate Action Minister Mona Neubaur. “And our enterprises also need stable networks to operate digitally and in a climate-friendly manner – for instance when using artificial intelligence. A strong North Rhine-Westphalia needs a strong digital infrastructure – throughout the entire federal state. NRW.BANK’s new loan programme accelerates the expansion of fibre optic networks to ensure that all people and regions in NRW are connected to the digital future.”
“Fast and stable internet is the very foundation of a sustainable society, and for this we need fibre optics throughout the federal state,” says Gabriele Pantring, Deputy Chairwoman of the NRW.BANK Managing Board. “We are a strong partner that supports the municipalities in expanding the fibre optics infrastructure and provides them the financial planning certainty they need.”
In some regions, it is not economically viable for network operators to expand the fibre optics network. To bridge this economic viability gap, affected municipalities can apply for a promotional loan to speed up fibre optics expansion in their region. The federal government covers 50 percent of the non-profitable costs under the Gigabit 2.0 Directive, with the State of North Rhine-Westphalia providing another 30 to 40 percent. The new loan offered by NRW.BANK enables municipalities to finance their contribution of 10 to 20 percent at a fixed interest rate of 0.5 percent.
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NRW.BANK – the promotional bank for North Rhine-Westphalia - NRW.BANK is the promotional bank of North Rhine-Westphalia (NRW). In close partnership with its owner, the State of North Rhine-Westphalia, the Bank helps to strengthen SMEs and start-ups, create affordable housing and improve public infrastructure. NRW.BANK offers people, enterprises and local authorities in NRW tailor-made financing solutions and advisory services. It cooperates with its financing partners, in particular all banks and savings banks, on a competition-neutral basis. In order to accelerate the transformation processes, the Bank provides effective promotional impulses – for a sustainable, climate-neutral and digital North Rhine-Westphalia.
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