BNPP SME & MIDCAP SUPPORT 2025

The guarantee will help the intermediary provide new loans to small and medium-sized enterprises (SMEs) and mid-caps in France.

The aim is to improve access to new loans for the target beneficiaries implementing projects in energy, transport and waste management. At least 25% of the total resources will be allocated to green projects.

The operation will provide capital relief to BNP Paribas with the aim of generating additional lending capacity to SMEs and Midcaps (primarily, 85% of the intended target beneficiaries) - and to large corporates at a minor extent (15% of the intended target beneficiaries), for green investments in energy, transport and waste in France.

The operation will address the access to finance constraints to small companies, which result from information asymmetries between lenders and borrowers, and high screening costs. In the current context of high interest rate the EIB will provide an important benefit to Final Beneficiaries through the reduction of interest rates.

Furthermore, given BNPP's proven capacity in allocating EIB funds and the guarantee's high multiplier (3x), the sustained employment of SMEs and Midcaps thanks to EIB financing is expected to be very significant.

The operation includes a climate action contribution of 30%, expected to be reached principally through investments in renewable energy, energy efficiency, low-carbon transport, public transport, and waste management. EIB financing will therefore result in contributing to the reduction of carbon footprint, pollution and other negative externalities.

This operation confirms EIB's competitiveness and product innovation in the current financial markets.

The proposed operation falls within the scope of the EIB's Environmental and Social Standards - "Standard 11 Intermediated Finance". The Financial Intermediary has adequate capacity, systems and processes in place for identifying, assessing, managing and monitoring environmental, climate and social (ECS) risks related to the potential sub-projects benefitting from EIB support. The Final beneficiaries will be required to comply with applicable national and EU legislation in respect of environmental and social matters, as appropriate.

Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.