Signature(s)
Summary sheet
- Credit lines - Credit lines
The project is to provide financing for energy efficiency and renewable energy investments of Hungarian small and medium sized enterprises (SMEs) and Midcaps through the loan programmes of Hungarian Development Bank. (MFB).
The EIB's funding will be used to finance eligible green investments mainly of SMEs but potentially also of mid-caps and other corporates or public sector entities.
The operation will support public and private counterparties in Hungary, to invest in Climate Action and Environmental Sustainability projects focused on energy efficiency, building integrated renewable energy and other eligible green investments.
EIB participation will contribute to the diversification of the borrower's financing base in terms of maturity, while interest rate conversion and fixing possibilities are also unique compared to other financing sources. The final loan programme of the Borrower can improve competition in SME and Midcap financing.
The project is fully aligned with the EU Renovation Wave Strategy, RePowerEU strategy and Hungary National Energy Action Plan to 2030. The project will reduce carbon and air pollution, deliver health benefits through improved air quality and positive social impact through job creation.
The intermediary is financially sound and has sufficient track record of allocating and monitoring EIB products. While, this is the first climate action operation, the intermediary has adequate governance, procedures and capabilities to implement the Bank's green eligibility criteria. In addition, the intermediary expressed an interest in receiving support through the EIB Green Gateway technical assistance programme. With the appropriate conditions in place, the operation is acceptable for financing in environmental and social terms. (see ESDS).
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.