FINANCE

EIB and NBG join forces to support firms

eib-and-nbg-join-forces-to-support-firms

Businesses of all sizes impacted by Covid-19 across Greece will benefit from 1.125 billion euros of new financing from National Bank of Greece supported by the first operations of the European Guarantee Fund in the country.

The European Investment Bank and European Investment Fund will guarantee business financing provided by NBG to enable companies to access favorable financing, to better withstand the business challenges posed by the pandemic and to invest in the future.

The first operations supported by the EGF in Greece were formally agreed at NGB headquarters in Athens on Thursday.

“Covid-19 has created unprecedented challenges for business across Greece and demanded a rapid response to help businesses adapt and protect jobs. NBG has responded to the needs of our clients during these challenging times and welcomes the significant new support from the EIB and EIF available by the first use of the EGF in our country. Today’s agreements will enable NBG to channel €1.125 billion of financing to hundreds of companies across Greece,” said NBG CEO Pavlos Mylonas.

“The EIB Group is committed to helping entrepreneurs and businesses across Europe and around the world to withstand the impact of Covid-19. Today’s first use of the EGF by our long-standing local partner NBG will unlock new financing that will help companies to overcome tough times and build a better future,” said EIB President Werner Hoyer.

“The EIB’s latest cooperation with NBG comes at a crucial time for the Greek economy and together we will help Greek companies to contribute to the national recovery. The deployment of the EGF marks the first time that the EIB has provided guarantees for business financing in the country and the first ever EIB support for financing for larger companies in Greece through a local banking partner,” said Christian Kettel Thomsen, EIB VP responsible for Greece.

“The EIF is scaling up engagement to support companies across Europe most impacted by the pandemic, strengthening and providing equity, debt funds and guarantee products to reflect the precise business financing needs. The new EIF guarantee facility with NBG will complement the EIB guarantee and ensure that Greek companies of all sizes can access targeted finance at this crucial time,” said European Investment Fund CEO Alain Godard.