The European Investment Bank (EIB) announced on Tuesday, July 18, that it has joined hands with ING to support their long-term partnership, announcing the availability of over €600M in new loans and leases for SMEs in the Netherlands, Belgium, and Luxembourg.
This significant funding initiative will boost sustainable investments and drive positive climate and environmental impacts within the region.
In the eighth collaborative transaction since 2009, the EIB is providing a loan of €300M to ING, with the bank matching that amount to deliver a total of €600M in new loans and leases to entrepreneurs aiming for sustainable investments.
This move by the EIB allows ING to offer loans and leases at reduced interest rates, encouraging businesses to prioritise sustainability in their operations and investments.
Over the past decade, the seven previous joint programmes have successfully provided financing options to approximately 3,000 companies, totaling €1.85B in support.
Eligibility criteria
To be eligible for these loans or leases, applicants must meet ING’s usual credit criteria.
In addition, ING carries out checks to ensure that the financing is used for an investment that contributes to climate and environmental improvement.
Loans and leases are available for companies with up to 3,000 employees. The total investment may not exceed €25M, and the loan amount is a maximum of €10M.
Final approval of the loan or lease rests with ING.
European Investment Bank (EIB)
The European Investment Bank (EIB) is the long-term lending institution of the European Union owned by its Member States. As a result, the Netherlands and Belgium borrow very cheaply on the capital market.
This enables the EIB to make long-term financing available for sound investments that contribute to EU policy goals.
The EIB works closely with other EU institutions to foster European integration, promote European Union development and support EU policies in over 140 countries around the world.
EIB Vice-President Kris Peeters says, “As the EU climate bank and also within the framework of the European Green Deal, the EIB wants to offer support and encouragement at both the macro and micro level to green society. Thanks to this partnership with ING, we can also reach out to small and medium-sized businesses, and now give them an extra incentive in the form of interest rate rebates, to really start doing something about the environmental aspect of their operations.”
ING Bank
ING is a global financial institution with a strong European base, offering banking services through its operating company ING Bank.
ING Bank’s more than 58,000 employees offer retail and wholesale banking services to customers in over 40 countries.
Laurens de Vos, Head of Business Banking at ING Netherlands, says, “Partnering with the European Investment Bank enables us to offer business financing with an attractive interest rate discount for investments with a positive impact on climate and the environment. This can encourage companies to opt for sustainable investments even sooner.”
“An ING survey earlier this year showed that Dutch companies want to accelerate on sustainability. As a bank, we would like to support them in this effort through financing. The significant interest rate discount obviously helps, and with this, entrepreneurs can invest in, for example, electric vehicles, sustainable forms of production and green buildings,” adds de Vos.
Saskia Bauters, Head of Business Banking Sales at ING Belgium, says, “This agreement with the European Investment Bank enables us to offer our business customers a significant interest rate discount for financing sustainable projects. The benefit fits perfectly with the other elements of our sustainability strategy. The discount can be the push that makes small businesses choose the most sustainable solution. In this way, we support our customers and work together towards a sustainable economy that will help achieve climate objectives.”
Read the orginal article: https://siliconcanals.com/news/startups/ing-and-eib-unite-provide-600m/
