Release date: 22 November 2021
Promoter – Financial Intermediary
LANDESBANK HESSEN-THUERINGEN GIROZENTRALELocation
Description
Multi-objective loan for the financing of public sector entities in Germany.
Additionality and Impact
Despite historically low interest rates and abundant liquidity, access to finance does not distribute evenly across different clients, sectors, segments or tenors. The proposed operation aims to reduce those imbalances by injecting liquidity where it is less available in the market or only at stricter conditions. For that purpose, the Financial Intermediary obtains funding from EIB that is significantly longer than average and on-lends it for long maturities at competitive rates. This will stimulate those Final Beneficiaries and projects dependent on such long-term funding and improve their economic viability. The proposed operation is expected to include a climate action and environmental contribution of 20% or more.
Objectives
An indicative 50% or more of the loan will be used for public sector entities, the remainder for mid-caps. Primary objectives are the financing of projects related to the environment.
Sector(s)
- Credit lines - Credit lines
Proposed EIB finance (Approximate amount)
EUR 200 million
Total cost (Approximate amount)
not applicable
Environmental aspects
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Procurement
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Status
Signed - 21/06/2022
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).