Investment & Fund Management
Ancoria Bank and the European Investment
Full Credential Description
Ancoria Bank and the European Investment Fund (EIF) entered into a portfolio risk-sharing loan agreement amounting to EUR 20 million, specifically designed to enhance access to finance for small and medium-sized enterprises (SMEs) in Cyprus. The primary challenge faced by SMEs in the region was limited access to affordable financing options, which hindered their growth and ability to create jobs.
To address this issue, the partnership allowed Ancoria Bank to offer lower interest rates to its SME clients, thereby making financing more accessible. This initiative is part of the broader Cyprus Entrepreneurship Fund (CYPEF), which aims to strengthen entrepreneurship in Cyprus by providing advantageous financing conditions and sharing credit risk with commercial banks.
As a result of this collaboration, the total financing available under CYPEF for Cypriot SMEs has reached EUR 140 million, significantly contributing to the local SME market's development and fostering job creation and economic growth in the region.