EIB and BNL Gruppo BNP Paribas provide EUR 250m for SMEs, midcaps and public entities
The European Investment Bank (EIB) has provided BNL Gruppo BNP Paribas with a total of EUR 250m via two new agreements to finance SMEs and public entities on a local and national level, as well as midcap companies for research and innovation projects.
The contracts include in particular:
- financing of EUR 200m that can be used either by SMEs (businesses with fewer than 250 employees) or – for a maximum share of 30% – by publicly-owned companies of any size;
- financing of EUR 50m for research and innovation investments by SMEs and midcaps.
“This operation continues a beneficial relationship with BNL Gruppo BNP Paribas. It pairs financial resources with favourable terms and an extensive presence on the ground, stimulating wealth-generating investments that create jobs and promote innovation and environmental protection,” said Miguel Morgado, EIB Director for Italy.
Regina Corradini D’Arienzo, Head of Corporate Banking at BNL, said: “By working with the EIB, BNL is underlining its support for Italy's many economic players, recognised internationally for the quality and sustainability of their products – the result of a consistent emphasis placed on research and innovation.”
The funds made available by the EIB dedicated to SMEs will be directed to support businesses across all productive sectors of industry, tourism and services to finance investments and/or working capital requirements for operational purposes.
The tranche of the maximum amount reserved for public entities is more specifically intended to support investments in sectors prioritised by the EIB's institutional objectives, including: environmental protection and sustainability, renewable energy and energy efficiency, and the knowledge economy (education, research, development and innovation).
Financing for SME and midcap investment projects worth up to EUR 25m can cover up to 100% of costs. For publicly-owned companies, EIB financing cannot exceed 50% of project/investment costs. In any case, loans will be for a maximum amount of EUR 12.5m with a term of up to six years (seven years for research and innovation loans).
The EUR 50m tranche operation falls under the Italian risk-sharing facility, a joint instrument of the EIB, the Ministry of Economic Development (MISE) and the Ministry of Economy and Finance (MEF) supporting SME projects in research, development and innovation via funding provided by BNL Gruppo BNP Paribas. This EUR 50m contract is part of the broader risk-sharing facility credit limit of EUR 500m that is already being allocated under agreements with other financial intermediaries.