Investment & Fund Management
The European Investment
Full Credential Description
The European Investment Fund (EIF) and Carion Finanszírozási Centrum Zrt. (CFC) entered into a loan agreement aimed at supporting over 100 micro-enterprises in Hungary. This initiative, part of the Progress Microfinance program funded by the European Commission, specifically targets micro-entrepreneurs in urban areas who often struggle to access credit from traditional banking sources.
The tailored solution provided by CFC involves offering micro-loans under the Progress Microfinance framework, which is designed to enhance access to finance for micro-entrepreneurs, particularly those from groups with limited access to conventional credit markets, such as female and young entrepreneurs, and those with disabilities. The loans, which are capped at EUR 25,000, are made available through CFCs branches across Hungary, allowing micro-entrepreneurs to apply directly for the financial support they need.
Since the inception of the Progress Microfinance initiative in 2010, CFC has become a significant player, marking this agreement as the 73rd transaction under the program. To date, commitments totaling EUR 146 million have been signed to benefit micro-borrowers across 20 EU member states. CFC has already provided funding for over 800 businesses since 2011, and this new agreement will enable them to continue supporting micro-businesses throughout Hungary, particularly those unable to provide third-party guarantees.