Spain’s Banco Sabadell and the European Investment Bank (EIB) have signed an agreement to allocate €1bn to finance the investment projects and working capital needs of SMEs.
Both institutions will contribute to half of the funds to provide industrial and service sector enterprises with financing at better interest rates and with more advantageous terms.
The fund targets SMEs with up to 249 workers and mid-cap companies with staff of no more than 3000 people.
SMEs will individually be able to access a sum of up to €25m and the mid-cap companies will have access to up to €50m.
The implementation of this credit line developed by the EIB and Banco Sabadell is a new addition to other lines of more than €2.5bn that have already been granted with favourable conditions to SMEs, through agreements between the two institutions, Banco Sabadell also said.