With two separate agreements totalling EUR 600 million signed today in Rome, the European Investment Bank (EIB) and the Banco Popolare Group have strengthened their cooperation in support of the Italian economy. EUR 400 million will go to projects promoted by SMEs (up to 250 employees) and EUR 200 million is earmarked for midcaps (between 250 and 3 000 employees). With these new agreements, the EIB has provided finance totalling EUR 1.8 billion in Italy via Banco Popolare over the past three years.

SMEs (EUR 400 million)

The EIB has earmarked EUR 400 million for Italian SMEs on particularly favourable terms. The loans are intended to fund either new or existing projects providing these have not yet been completed. Loans to businesses operating in all productive sectors (agriculture, crafts, industry, retail, tourism and services) can be allocated for the purchase, construction, extension and refurbishment of buildings; the purchase of plant, equipment, vehicles or machinery; expenses, additional charges and intangible assets connected to the projects, including research, development and innovation costs; and the permanent need for working capital for operational purposes. Banco Popolare will also provide funding to the beneficiary SMEs, thereby increasing the total amount made available in support of the Italian economy.

Midcaps (EUR 200 million)

The entire amount of EUR 200 million is intended for business customers with between 250 and 3 000 employees across all productive sectors to fund requirements similar to those described for SMEs. The maximum amount of each loan is EUR 25 million.

The ongoing collaboration between the European Union and the Banco Popolare Group is also producing excellent results in the sectors of lending to large corporates and research, development and innovation through the use of new facilities launched by the European Commission and the EIB (InnovFin).

"Our cooperation with the European Investment Bank is a constant reference point for us in the area of lending to businesses – stressed Maurizio Faroni, General Manager of Banco Popolare – and has proved fruitful over the years, enabling us to broaden our capacity to continually support SMEs in their consolidation, development and growth initiatives. The amounts made available via the agreements signed are one of the most effective ways that Europe can meet the eligible financing requirements of the productive sector in Italy as the country's anticipated economic recovery takes shape. The programme launched today provides further confirmation of Banco Popolare's commitment to supporting the economy in Italy, so giving businesses access to a variety of sources of finance."

"The partnership with domestic banks forms a crucial part of the process to enable the EIB's financial resources to permeate the fabric of SMEs: accordingly, relations with the Banco Popolare Group have been strengthened and business continues to grow thanks in part to the fact that Banco Popolare's branch network has been very efficient in allocating funds across Italy", remarked Romualdo Massa Bernucci, EIB Director for Italy, Malta and the Balkans.