EIB and UniCredit support the economy in Central and South Eastern Europe: total funding scheduled in 2009 in the region exceeds EUR 1.2 bn

The EIB and UniCredit Group strengthen their cooperation to implement the Joint Action Plan of the largest multilateral lenders in Central and Eastern Europe – the EIB Group, the EBRD, and the World Bank Group – who have committed to provide up to EUR 24.5 bn lending to the SME sector hit by the global economic crisis. Out of this sum, the EIB will provide the largest part, with some EUR 11 bn in SME lending facilities in Central and Eastern Europe, while UniCredit Group subsidiaries and leasing companies (some 15 in total) throughout the region represent the largest counterpart with new financing in 2009 exceeding EUR 1.2 bn.

EIB and UniCredit Group also work together on a swift allocation of the funds. The interested countries include Bosnia & Herzegovina, Bulgaria, Czech Republic, Croatia, Hungary, Latvia, Poland, Republic of Serbia, Romania, Slovakia, Slovenia and Turkey.

The proposed credit lines implement the EIB’s priority to support Europe’s SMEs and help to reduce the impact of the current credit crisis by improving the access of SMEs and larger companies to medium and long-term funds on advantageous financial terms. As part of this effort EIB simplified its procedures and broadened the scope of its financing by also covering intangible investments and working capital. In addition the Bank increased transparency in the mechanism for the transfer of financial advantage to final beneficiaries.

For UniCredit, the cooperation with the EIB is part of a wider effort of the Group to fund the local economies in the core countries of activity. In particular, the Group has developed a number of initiatives to support the SMEs, such as Impresa Italia in Italy and similar undertakings in Austria, Germany and CEE countries.

 “The common effort to support the real economy of the Central and Southern European region is a key objective of EIB. The action UniCredit Group has undertaken with EIB and the other IFIs provides markets with clear positive signals. This is happening in parallel to EIB support to UniCredit Group’s entities in other countries: in Austria for example new financing for a total of EUR 375 m, relating to SME loans (EUR 200 m), leasing (EUR 100 m) and risk sharing (EUR 75 m) have been approved”, says Matthias Kollatz-Ahnen, EIB Vice-President.

“EIB has been in the past years a significant contributor to our CEE network and particularly supports us in SME lending. Therefore we are pleased to see that such commitment continues and we welcome further future cooperation”, said Carlo Vivaldi, CFO, UniCredit Bank Austria, the sub holding responsible for CEE business.