Investment & Fund Management
European Investment Fund Partner
Full Credential Description
Latvian lender BluOr Bank has entered into an agreement with the European Investment Fund (EIF) to facilitate up to 30 million in financing aimed at supporting small and medium-sized enterprises (SMEs) in Latvia that are pursuing green upgrades. This initiative is backed by the InvestEU programme, which underscores the EU's commitment to fostering environmentally sustainable growth.
The specific challenges faced by Latvian SMEs included limited access to financing for sustainable projects, particularly for those lacking sufficient collateral. The tailored solution provided by the EIF involved offering guarantees that enable BluOr Bank to lend on more favorable terms, including lower interest rates. This arrangement allows SMEs to more easily secure funding for projects aimed at reducing energy consumption, upgrading manufacturing processes to meet EU environmental standards, and deploying renewable energy technologies such as solar and wind power.
As a result of this partnership, BluOr Bank is positioned to significantly enhance the accessibility of financing for local businesses focused on green initiatives. The EIF's support is expected to not only facilitate the growth of these companies but also bolster their resilience in adapting to future environmental challenges.