- EIB lends €100 million to support investments and working capital needs of small businesses and mid-caps
- Banca Sella commits an additional €100 million in financing for businesses, doubling the funds made available
- At least 30% of the funds provided by the EIB will be allocated to innovative projects, while another 20% will be reserved for companies operating in cohesion regions.
The European Investment Bank (EIB) and Banca Sella have signed a €100 million financing agreement to support investments and the working capital and liquidity needs of small and medium businesses (SMEs) and mid-caps, focusing in particular on product and process innovation and projects in cohesion regions. Underpinning its support for local businesses, Banca Sella will provide an additional €100 million to what has been provided for under the agreement with the EIB, increasing the funds made available to small businesses and mid-caps to €200 million.
The agreement stipulates that at least 30% of the funds made available by the EIB will be used to finance innovation-oriented or fast-growing companies that, among others, need to promote R&D projects, purchase products to modernise their business or implement innovative processes. A further 20% must be allocated to projects or companies operating in cohesion regions (Abruzzo, Basilicata, Campania, Calabria, Marche, Molise, Puglia, Sardinia, Sicily, Umbria), in keeping with EU regional development policy at economic, social and territorial level.
Businesses will be able to apply for loans of up to €12.5 million with a favourable interest rate and a minimum term of 25 months.
“Thanks to this agreement, the EIB is stepping up its support for Italian industry with two key priorities – innovation and economic development in cohesion regions,” said EIB Vice-President Gelsomina Vigliotti.
“This financing agreement with the EIB is particularly important as it strengthens our core task of providing financial support for small businesses and mid-caps. These businesses are strongly committed to improving and adapting their processes to new technologies. Innovation capability is one of the key drivers of economic growth and development, especially in the current climate of increasing market globalisation and a strong impetus for innovation with high technological content. We are therefore tasked with supporting these businesses on this journey by providing the best available financing products,” said Co-Director and Deputy CEO of Banca Sella, Giorgio De Donno.
Background information
The European Investment Bank (EIB) is the long-term lending institution of the European Union owned by its Member States. It provides long-term financing for sound investments that contribute to EU policy. The Bank finances projects in four priority areas: infrastructure, innovation, climate and environment, and small and medium-sized enterprises (SMEs). In the past five years, the EIB Group has provided more than €58 billion in financing for projects in Italy.