Investment & Fund Management
The European Investment
Full Credential Description
The European Investment Fund (EIF) and Türkiye S?nai Kalk?nma Bankas? (TSKB) signed the first InnovFin agreement for SMEs and small mid-caps in Turkey, aimed at addressing the financing challenges faced by innovative companies in the region. The specific issue was the lack of accessible loans for SMEs needing investment and operating capital to support research, development, and innovation activities.
To tackle this, the InnovFin SME Guarantee was introduced, which provides a guarantee from the EIF under the Horizon 2020 framework. This initiative is designed to encourage banks and financial institutions to lend to SMEs, thereby facilitating access to necessary funding. TSKB, with its extensive experience in international finance, was selected to implement this program, ensuring that innovative firms in Turkey could benefit from the EU's financial support.
The expected outcome of this collaboration is the generation of a portfolio of EUR 20 million in bank loans over the next two years, specifically targeting innovative companies. This initiative is anticipated to significantly enhance the financial landscape for SMEs in Turkey, fostering economic growth and job creation by enabling these businesses to invest in innovation and development.