Investment & Fund Management
providing essential
Full Credential Description
The EIF and Bankinter signed Spain's first guarantee agreement under the Risk Sharing Instrument (RSI), aimed at improving access to financing for small and medium enterprises (SMEs). The specific challenge faced by SMEs in Spain was the difficulty in obtaining loans for research, development, and innovation (RDI) activities, particularly in the manufacturing sector. The RSI was designed to address this gap by providing guarantees that would encourage banks to lend to innovative businesses.
Under this agreement, Bankinter is set to offer new loans totaling up to 120 million over two years, specifically targeting SMEs and small mid-caps engaged in RDI activities. The loans will range from 25,000 to 3 million, providing essential funding for investments and working capital. The EIF's guarantee covers 50% of the outstanding principal of each loan, significantly reducing the risk for Bankinter and incentivizing them to support innovation in the manufacturing sector.
As a result of this initiative, Bankinter has already increased its lending to companies by over 14% in the past year, demonstrating a strong commitment to financing the manufacturing sector and promoting innovation as a key growth factor for Spain's economy. This partnership not only facilitates easier access to financing for SMEs but also aims to bolster the overall economic recovery by supporting innovative projects that can drive growth and employment in the region.