Release date: 24 May 2022
Promoter – Financial Intermediary
ACCEPTABLE BANK(S)Location
Description
Credit facility to financial intermediaries for on-lending to micro, small and medium-sized enterprises (MSMEs) and mid-caps, contributing to private sector inclusive growth, decent job creation for youth and youth entrepreneurship in African, Caribbean and Pacific (ACP) countries.
Objectives
This operation will support micro, small and medium-sized enterprises (MSMEs) and mid-caps and the promotion of decent job creation across African, Caribbean and Pacific (ACP) countries, with a focus on sub-Saharan Africa. It is expected to contribute, among others, to the achievement of Sustainable Development Goals (SDGs) 1 (No Poverty), 8 (Decent Work and Economic Growth) and 10 (Reducing Inequalities). Access to finance for firms at the early stages of the enterprise life cycle is limited, especially for innovative or younger companies and companies in new and growing sectors. Even mature SMEs and mid-caps have essentially no access to local capital markets, which, in the few countries where they are developed, are accessible only to a limited number of large corporates and banks. By providing much needed funding to SMEs, the proposed operation can be expected to significantly contribute to improving access to finance, supporting the capacity of private enterprises to reap investment opportunities. A focus on job creation for youth, increased access to finance for young entrepreneurs, and opportunities for training skills development for young persons will contribute to a more sustainable economic recovery.
Sector(s)
- Credit lines - Credit lines
Under Global Europe NDICI guarantee
Under EFSD+ Guarantee
Proposed EIB finance (Approximate amount)
EUR 200 million
Total cost (Approximate amount)
not applicable
Environmental aspects
The Bank will require the financial intermediaries to take all the requisite measures to ensure that the procedures carried out by the final beneficiaries for the sub-projects receiving Bank financing will comply with national legislation and the ElB's Environmental Standards as well as international treaties and conventions signed and ratified by or otherwise applicable and binding in the country.
Procurement
The Bank will require the intermediary institution to take all requisite measures to ensure that any procurement procedures carried out by final beneficiaries for the sub-projects that the Bank finances are in accordance with the Bank's Guide to Procurement.
Status
Approved - 20/07/2022
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).