EIB lends EUR 75 million to BCR for SME financing

Banca Comerciala Romana (BCR) has signed a new EUR 75 million loan agreement for financing SMEs, mid-caps and public sector projects with the European Investment Bank (EIB). The sum is a second tranche which brings to EUR 150 million the total loans for SMEs between EIB and BCR since 2009. Financing from EIB funds is available to various beneficiaries: SMEs, small mid-caps and public sector authorities looking to develop projects in sectors such as industry, tourism, services and agriculture; plus large mid-caps looking to finance up to 50 percent of eligible project expenditure amounting to more than EUR 25 million and up to EUR 50 million. BCR is currently the financial intermediary for two EIB facilities: the EIB Intermediated Loan (contracted in November 2006) amounting to EUR 50 million, through which over 100 projects developed by small and middle sized enterprises in Romania have already been financed; sand  the EIB Loan for SME contracted in December 2009, amounting to EUR 75 million, from which over 80 projects by SMEs in Romania have been funded.

The main mission of the EIB, the European Union’s bank, is to contribute to the integration, balanced development and economic and social cohesion of the EU member states by financing sound investment.

Through its credit lines to financial institutions, the EIB funds projects usually implemented by SMEs (with fewer than 250 employees) and by mid-cap companies or municipalities. To increase the access of SMEs to long-term financing, the bank closely cooperates with local financial institutions that have local market expertise, particularly in providing services to businesses through a well-developed network. Since 1990, the EIB has signed loan contracts in Romania amounting to some EUR 8.2 billion, of which some EUR 780 million has supported SME projects, including the current loan.