Investment & Fund Management
The European Investment
Full Credential Description
The European Investment Fund (EIF) and Banco Espírito Santo (BES) entered into a significant partnership through a EUR 8.75 million loan agreement aimed at bolstering micro-enterprises and self-employed entrepreneurs in Portugal. This initiative was part of the European Progress Microfinance Facility, which is designed to enhance access to finance for micro-entrepreneurs, particularly those facing challenges in obtaining traditional credit.
The specific issue addressed by this collaboration was the tightening credit conditions that micro-entrepreneurs in Portugal were experiencing, which hindered their ability to secure necessary funding. The tailored solution provided by this agreement allowed Banco Espírito Santo to offer up to EUR 8.75 million in micro-loans, specifically targeting around 600 micro-enterprises. This initiative not only aimed to improve access to finance but also sought to stimulate employment within the region.
As a result of this partnership, Banco Espírito Santo was positioned to expand its lending activities to small and micro-enterprises, thereby enhancing its role as a leader in supporting micro-entrepreneurs in Portugal. The agreement was expected to facilitate the creation of jobs and promote economic growth, addressing the socio-economic challenges faced by these businesses. By the end of March 2013, BES had already supported 668 projects, amounting to a total of EUR 11.7 million, which contributed to the creation of 1,159 jobs, showcasing the tangible impact of this microfinance initiative.