Investment & Fund Management

The European Investment Fund (EIF) and APS Bank Limited (APS) entered into a significant financing agreement aimed at supporting innovative small and medium-sized enterprises (SMEs) in Malta. This collaboration marks the first SME financing agreement in Malta under the European Fund for Strategic Investments (EFSI), part of the broader Investment Plan for Europe. The specific challenge faced by innovative SMEs in Malta was limited access to affordable financing, which hindered their growth and development.

To address this issue, the EIF provided a guarantee under the “EU InnovFin finance for Innovators” initiative, which is backed by Horizon 2020, the EU's Framework Programme for Research and Innovation. This tailored solution enabled APS to offer low-cost loans amounting to EUR 12 million to innovative SMEs over the next two years. The agreement was facilitated by the Investment Plan, which aims to boost jobs and growth across the EU.

As a result of this partnership, APS Bank is expected to enhance its support for Maltese SMEs by combining the InnovFin guarantee with its existing financing solutions. This initiative not only provides immediate financial relief to SMEs but also fosters a more robust environment for innovation and entrepreneurship in Malta, aligning with the EU's objectives of promoting growth and employment.