EIF extends guarantees to Erste Croatia to back SME recovery Author: Georgi Georgiev. License: All rights reserved.
ZAGREB (Croatia), April 29 (SeeNews) - The European Investment Fund (EIF) said it will provide guarantees worth 140 million euro ($169.7 million) to Croatia-based Erste&Steiermarkische Bank and Erste&Steiermarkische S-Leasing, to enable financing of up to 200 million euro to small and medium-sized enterprises (SMEs).
The financing is expected to help SMEs mitigate the economic impact of the COVID-19 pandemic and speed up their recovery, EIF said in a press release on Wednesday.
The guarantees will allow Erste&Steiermarkische Bank to provide loans and finance leases to Croatian SMEs at more favourable terms, which will help companies continue with growth and development in the medium to long-term.
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Finnvera is joining the Pan-European Guarantee Fund (EGF) programme of the European Investment Bank (EIB) Group. On 1 April 2021, Finnvera and the EIB signed an agreement on a guarantee programme which will enable Finnvera to grant a total of EUR 650 million of working capital and investment loans, mainly for the financing needs of large enterprises. This funding will have a 75% EIB guarantee. The guarantee programme will be in force until the end of 2021.
The Pan-European Guarantee Fund (EGF) is made up of EUR 25 billion in guarantees by EU Member States, which are set to trigger additional investments of up to EUR 200 billion for European companies. The Fund was established in spring 2020 on the initiative of the EIB Group, which is also responsible for its management. Finnvera’s share of the Fund totals EUR 650 million.
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The FINANCIAL The European Investment Bank (EIB) is joining forces with Banco de Sabadell to expand its capacity to lend to small and medium-sized enterprises (SMEs) and mid-caps hit by the economic impact of the COVID-19 pandemic. To this end, the EIB will provide €300 million in financing to enable the Spanish bank to mobilise a total of €600 million over the next two years.
According to EIB, the operation consists of a risk-sharing guarantee under the European Fund for Strategic Investments (EFSI), the main pillar of the Investment Plan for Europe, which enables the EIB Group to expand its support for investments fostering economic growth, competitiveness and employment. The EIB is granting this guarantee to Banco de Sabadell, S.A., on a portfolio of existing corporate loans, creating additional financing capacity to support Spanish industry.
The FINANCIAL - Spain: EIB provides €300 million in financing to Banco de Sabadell to support Spanish companies affected by the pandemic finchannel.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from finchannel.com Daily Mail and Mail on Sunday newspapers.