Invest-NL and the European Investment Fund (EIF) have signed a guarantee agreement to provide €35.7M in new financing for sustainability projects by Dutch SMEs.
At an event in Luxembourg marking the EIF’s 30th anniversary, Member of the Executive Board of Invest-NL Jellie Banga closed the deal with EIF Chief Executive Marjut Falkstedt, to enhance funding for green projects by Dutch small and medium-sized entrepreneurs.
The guarantee agreement, covering a portion of Invest-NL’s credit risk, is a crucial tool for stimulating investments concerning climate change and sustainability.
Invest-NL expects to support around 18 new projects with the newly available funding.
The new guarantee will allow Invest-NL to enhance financing conditions for entrepreneurs, such as by providing long-term senior and subordinated debt at more favorable terms, including reduced collateral requirements, thereby fostering sustainable and inclusive growth.
EIF: What you need to know
The European Investment Fund is part of the European Investment Bank Group.
Its mission is to support Europe’s micro, small, and medium-sized enterprises (SMEs) by helping them to access finance.
The EIF designs and develops venture and growth capital, guarantees, and microfinance instruments that specifically target this market segment.
“We are delighted to continue our collaboration with Invest-NL under the InvestEU programme,” says Marjut Falkstedt, Chief Executive of the European Investment Fund. “We recently opened our permanent representation for the Benelux in Amsterdam, and this guarantee agreement will not only contribute to greening the local economy but also enhance the resilience and competitiveness of European SMEs and small mid-caps in general.”
Invest-NL: What you need to know
Invest-NL is the National Financing and Development Institution of the Netherlands.
Its mission is to provide financing to companies and innovations that currently do not have sufficient access to existing financing options.
Invest-NL works together with various stakeholders, including entrepreneurs, other financiers and investors, and development specialists from both the public and private sectors.
Jellie Banga, Member of the Executive Board of Invest-NL, states, “This agreement with the European Investment Fund enables us to strengthen our mission: to support and accelerate sustainable and innovative transitions in the Netherlands. By offering better financing conditions, we can help more businesses achieve their sustainability ambitions.”
Read the orginal article: https://siliconcanals.com/news/startups/eif-joins-hands-with-invest-nl/
