Investment & Fund Management

The European Investment Fund (EIF) signed four agreements with Alpha Bank and Piraeus Bank in Greece, aimed at providing EUR 420 million to over 2,000 small and medium-sized enterprises (SMEs) across the country. This initiative was facilitated by the European Fund for Strategic Investments (EFSI), part of the European Commission's Investment Plan for Europe, also known as the "Juncker Plan." The agreements specifically addressed the pressing issue of access to finance for SMEs in Greece, which has been a significant barrier to their growth and recovery following economic challenges.

The tailored solution involved the banks offering loans with substantially reduced collateral requirements under the COSME programme, which is designed to enhance access to finance for SMEs. Additionally, the banks targeted innovative companies through the InnovFin initiative, which supports financing for research and development. This strategic approach not only aimed to provide immediate financial relief but also to foster long-term growth and innovation within the Greek economy.

As a result of these agreements, it is expected that approximately 2,000 SMEs will benefit from improved financing conditions, enabling them to expand operations, innovate, and create jobs. The EIF anticipates that, within a year, the EFSI will support a total portfolio of over EUR 1 billion in loans to Greek businesses, significantly contributing to the economic recovery of the region. The specific commitments from Alpha Bank and Piraeus Bank include allocating EUR 170 million and EUR 100 million, respectively, to support SMEs and small mid-caps, thereby enhancing their competitiveness and growth potential.