Together with £100m from a US investment fund (Ernst and Young), the 30-year loan will support a range of building and refurbishment projects over the next decade.
The University's £1.5 billion building programme will be stepped up, with projects including a new home for the School of Biological Sciences, the creation of a Data Technology Institute - part of the Alan Turing Institute - and a refurbishment of the historic School of Law at Old College.
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The McEwan Hall will also be redeveloped into a ceremonial and conferencing facility.
Professor Sir Timothy O'Shea said: "We are very pleased that the EIB has made a commitment that equals its largest loan to date in the UK.
"The significant levels of investment involved will be used to deliver excellence in teaching and build our aspiration to address global challenges. This, coupled with our own ongoing investment, will ultimately help to create employment and economic growth in Edinburgh, Scotland and the UK.
Jonathan Taylor, Vice President of EIB, added: "The European Investment Bank recognises the ambitious development plans that will strengthen world class research, teaching facilities and student life at the University of Edinburgh over the next decade.
"This new £200m 30-year loan to the University of Edinburgh represents one of the largest ever loans to a European University, and reflects both the quality of the campus development plan, and the European Investment Bank's clear commitment to support long-term investment in Scotland."
[Pictured: Designs for the University's Data Technology Institute]
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