© FinnishGovernment
© FinnishGovernment

Commission plans boost for Greek SMEs

The use of recapitalised Greek banks by the European Fund for Strategic Investments (EFSI) will channel EU investment into SMEs, according to European Commission Vice-President Jyrki Katainen.

Greece’s SMEs can expect investment in the near future, Katainen said at a European Investment Bank (EIB) conference in Brussels, Belgium on Wednesday. An investment that he insists will be “positive news” for the Greek economy: “I can promise you that in the next few days, you can hear the first positive news in Greece on how EFSI works and functions in your country. I am interested to discuss with the banks how they would increase SME financing with the support of EFSI.

“It’s very important for me personally, but also for the commission as a whole, to make sure that EFSI, which is a risk financing institution, can function also in Greece.”

The EIB president, Werner Hoyer, also appeared at the event alongside commission president Jean-Claude Juncker. “We do not talk about amenities for consumers but basic industrial necessities which industry needs to compete in the next decades. It’s time to wake up and speed up,” Hoyer said.

“Juncker Plan money,” Katainen continued, “can be used only if it is private investment or public-private partnership. They are in need of an intermediary bank. This is one of the issues I want to discuss with the Greek banks. Now that they have been recapitalised, they can start lending again with the support of EFSI.”

With further announcements expected later this month, the first of the Horizon 2020-funded Greek SME projects under the Juncker Plan is now in effect. Athens, meanwhile, is engaged in preparations for further proposals.

Greek Economy Minister, George Stathakis, presented the commission with a list of projects for funding under the Juncker Plan worth €5.6bn. Of these, just less than half are private, with the remainder being public private partnerships.

Closing his address, Katainen said: “I believe very strongly that the SME sector in Greece can be the engine of job creation in the near future.”