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Banks (Finance)

EIB Group and United Bulgarian Bank Sign Agreement under InvestEU to Guarantee Over €110 Million in New Loans for SMEs and Small Mid-Caps

Strategic Insights

— 1 min read

The European Investment Bank (EIB) Group has signed an agreement with United Bulgarian Bank (UBB) to provide guarantees for loans under InvestEU in Bulgaria. The agreement, worth over €110 million, aims to support the competitiveness of local companies, with a focus on sustainability, innovation, and digitalization. The European Investment Fund (EIF) will provide guarantees for loans under three key policy areas, including a competitiveness guarantee worth €76 million, a sustainability guarantee worth €24 million, and a SME innovation and digitalization guarantee worth €10 million.

Key Takeaways:

  • The EIB Group and UBB have signed the first agreement under InvestEU in Bulgaria, worth over €110 million.
  • The agreement will support the competitiveness of local companies, with a focus on sustainability, innovation, and digitalization.
  • The EIF will provide guarantees for loans under three key policy areas: competitiveness (€76 million), sustainability (€24 million), and SME innovation and digitalization (€10 million).
  • The agreement will enable UBB to support Bulgarian SMEs and small mid-cap companies in accessing funds with preferential terms and less stringent collateral conditions.
  • The InvestEU programme will help Bulgarian SMEs and small mid-cap companies to accomplish their investment ideas, while accessing funds with preferential terms and less stringent collateral conditions.

Statistics:

  • The agreement worth over €110 million in new loans and leases to support Bulgarian SMEs and small mid-caps.
  • €76 million: competitiveness guarantee for SMEs to contribute to their competitiveness, growth, and jobs.
  • €24 million: sustainability guarantee for SMEs and small mid-caps to contribute to Europe's green transition.
  • €10 million: SME innovation and digitalisation guarantee to support businesses that develop and introduce new products, services and processes.

Sources:

  • European Investment Bank. (2022). EIB Group and United Bulgarian Bank sign agreement under InvestEU to guarantee more than €110 million in new loans for SMEs and small mid-caps. Retrieved from

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