In 2009, the European Investment Bank (EIB) provided EUR 2.5 billion in 16 credit lines for financing the investment projects of SMEs (EUR 1 955 million) and local authorities (545 million) in Spain.
In 2009, the European Investment Bank (EIB) provided EUR 2.5 billion in 16 credit lines for financing the investment projects of SMEs (EUR 1 955 million) and local authorities (545 million) in Spain. These credit lines are managed by Spanish financial institutions, which, under agreements signed with the EIB, match the amount provided, bringing the total made available to SMEs and local authorities to EUR 5 billion. New credit lines have been opened with the following financial institutions:
- Banco Popular
- ICO
- Banco Sabadell
- IGAPE
- Banco Santander
- Institut Català de Finances (2 lines)
- BBVA
- Instituto de Crédito y Finanzas de Murcia
- Caixa Galicia
- Caja Madrid
- Instituto Valenciano de Finanzas
- Luzaro
- Caja Navarra
- Unicaja
- Dexia Sabadell
“This large amount of credit made available to Spanish SMEs and local authorities – 55% more than in 2008 – is especially important at a time of difficult access to credit and makes clear the Bank’s commitment to helping SMEs and local authorities, whose investment is proving to be essential to economic recovery”, said Carlos da Silva Costa, the EIB Vice-President responsible for operations in Spain.
These loans come under the Bank’s policy of assisting small businesses by providing funds enabling favourable lending conditions in terms of longer maturities, flexible disbursement and lower interest rates. Credit lines are designed to part finance SME projects mainly in industry, tourism and services and support both traditional investment in fixed assets and other elements essential to companies’ growth such as RDI 2 and the establishment of distribution networks. Some also permit the financing of working capital.
Credit lines for local authorities are geared to financing small-scale infrastructure projects promoted by local and regional bodies and help to improve public services for the benefit of all users while creating jobs during the construction period.
To achieve these goals, the EIB works closely with financial entities throughout Spain, including the major banks and the majority of regional savings banks and financial institutions. Of the credit lines created in 2009, those provided to Caixa Galicia, Caja Navarra, Instituto de Crédito y Finanzas de Murcia and Unicaja are the first set up by the EIB in cooperation with those financial institutions.
The EIB is the EU’s long-term financing institution promoting European objectives. Created in 1957, it operates in the 27 EU Member States and more than 130 countries worldwide. EIB financing operations are mounted in the framework of well defined EU policies. As an EU policy, support for European SMEs is also an investment priority of the EIB.