The European Investment Bank (EIB) is committing the largest-ever corporate loan, €3 billion ($3.42 billion), to planemaker Airbus, which the EIB said was aimed at strengthening Europe's industrial base in the face of global competition from the likes of the United States and China.

Reuters reports, the ⁠EIB and Airbus said in a joint statement on Monday that Airbus had signed an initial €1 billion loan with the EIB, as part of the broader €3 billion financing package.

The loan for Airbus is the latest move by Europe to shore up its technology and industrial sectors, and it follows a planned tie-up of the satellite activities of Airbus, Thales and Leonardo, which is aimed at creating a European rival to ⁠Elon Musk's Starlink.

The EIB said its financing deal for Airbus, whose main rival is Boeing, would support Airbus' planned investments through to 2030 in areas such as commercial aviation, security, defence and technology. It added that the €3 ⁠billion package for Airbus was the largest-ever corporate loan authorised by the EIB.

"This facility reinforces the depth of our strategic partnership with the EIB, supporting the commercial and ⁠defence research that drives European industrial competitiveness. The highly competitive terms and extended flexibility grant us the maximum optionality to manage our ⁠balance sheet, minimise the cost of carry and sustain our long-term investments in aerospace innovation,” said Airbus CFO Thomas Toepfer in a statement.