EIB board approves €4.8bn lending to SMEs

The Board of the European Investment Bank (EIB) meeting has approved €4.8bn of new loans to support investment by SMEs and mid-cap companies across Europe.

Board members also discussed the EIB’s expected role managing the European Fund for Strategic Investments to be implemented under the EU’s Investment Plan for Europe and to be discussed by the EIB’s Board of Governors and Europe’s finance ministers, at an extraordinary meeting on 17 February.

The recent meeting of the board welcomed the valuable discussions held recently with a broad spectrum of civil society representatives on a range of issues, including updating the EU bank’s transparency policy.

The EIB’s Board of Directors approved loans for investment in Europe totalling €5.8bn. This includes €295m for strategic infrastructure, €224m for resource efficiency and €562m for knowledge economy and research investment. Corporate investment by SMEs and mid-cap companies will benefit from new loans totalling €4.8bn to be managed by local banks and financial institutions. This includes a €3bn loan to support investment by SME and mid-cap companies in a number of EU countries.

Loans were approved in support of investment in new roads in Slovenia, in port infrastructure in Turkey and for energy investment in Armenia, as well as supporting a private equity fund working to improve access to electricity in Africa.

The EIB’s Board of Directors comprises representatives of all EU member states, which are the shareholders of the bank, and the European Commission. Loan approvals by the board represent an important milestone prior to final negotiation, where loan amounts may change.