EIB continues to support SMEs - strong response to the challenging market conditions
1 Apr 2014 11:48 AM
The European Investment Bank (EIB) continues its
strong commitment to small and medium sized enterprises (SME) in the European
Union. The EIB’s Board approved a EU programme allowing the EIB to speed
up classical lending operations in the SME sector. The volume of the programme
will amount to EUR 2 billion in the second quarter of
2014.
Based on the complementarity of the EIB loan for SMEs,
the proposed EU Programme Loan is expected to generate up to EUR 4bn of
financing. Taking into account the multiplier effect of debt finance, the EIB
Programme could thereby support SMEs and Mid-Caps investment in fixed assets
and working capital in the EU of up to EUR 8bn which is expected to provide
finance to approximately 10 000 SMEs and Mid-Caps across the EU that employ
more than 250 000 people.
In
the context of significant market fragmentation, this pilot operation
reinforces the Bank’s commitment to support SME lending and promote
growth in the EU. The dedicated EIB loan for SMEs and Midcaps (with up to 3 000
employees) will finance small and medium-sized projects in the EU. The
individual loans will be intermediated by EU financial
institutions.
EIB
Vice-President Dario Scannapieco, responsible for SMEs, said: “As we
still observe seriously hampered investment activities on the part of SMEs, the
EIB will now further improve its support by accelerating lending processes. The
now approved umbrella of up to 2 billion Euros is an important step in the
right direction. Standard operations can now obtain financial backing more
swiftly. We expect this new process to further support growth and employment
across the EU.”
Support to SMEs has become the single largest policy
objective by the EIB Group. In 2013, the EIB and the European Investment Fund
contributed a record volume of EUR 21.9 billion to SMEs. A total of approx. 230
000 SMEs received direct or indirect support through EIB Group’s
activity. These businesses employed approx. 2.8 million people across Europe in
2013. Exceptional efforts were made to secure access to long-term financing for
small and medium-sized businesses, which are the backbone of the European
economy. In 2014, the total volume of EIB Group commitment in support of SMEs
amounts to EUR 7.3 billion so far.