The European Investment Bank (EIB) has granted a EUR 100 million loan to Banca March with the aim of stepping up financing for small and medium-sized enterprises. The finance contract was signed today at Banca March’s Madrid headquarters by EIB Vice-President Magdalena Álvarez and Banca March’s Executive Director, José Nieto.
The EIB Vice-President emphasised that “facilitating small businesses’ access to finance is a strategic priority for the EIB. This credit line is a further demonstration of our commitment to supporting the economic recovery and strengthening the business environment. It will make it possible to provide loans on favourable interest rate and maturity terms. We are very pleased to be able to count on a partner like Banca March in this endeavour”.
She went on to say that “the credit line will facilitate investment by small and medium-sized companies, stimulate job creation and boost productivity in key sectors of the Spanish economy.”
José Nieto added that “supporting the business fabric is one of Banca March’s strategic goals. It is essential at this time to maintain our businesses’ access to finance from all possible sources. This initiative makes clear the EIB and Banca March’s commitment in this regard and represents the start of a relationship that will undoubtedly provide new opportunities for cooperation in the future”.
The Executive Director of Banca March stressed the importance of this type of agreement at a time when it is crucial to provide businesses with liquidity. “At Banca March we intend to step up – not reduce – our investment, and we have sufficient resources to do so”. “In these difficult times for the business world, this is a very good opportunity to continue supporting entrepreneurs and their companies, especially family companies, as we have always done”.
At least 70% of the funds made available by the EIB will be destined for financing SME investment projects. It will also be possible to finance working capital in the framework of operations with a duration of two or more years. The remainder of the funds, up to 30%, can be channelled to mid-cap companies and local authorities. Around 30% of the loan amount will go to projects carried out in convergence regions. This new financing line represents an addition to Banca March’s offer to businesses aimed at supporting their development and competitiveness and making their access to credit easier.
The European Investment Bank is the EU’s long-term financing institution promoting European objectives. Founded in 1958, it operates in the 27 EU Member States and more than 130 other countries worldwide. As an EU objective, supporting Europe’s small businesses is one of the EIB’s investment priorities.
Founded in the Balearic Islands, where it still has its headquarters and a substantial client base, Banca March is a family-owned regional bank specialising in: asset management; retail, private and corporate banking, with a particular focus on family businesses; insurance and fund management.
Banca March: www.bancamarch.es
