News
€8 million Boost for Community Projects as Social Finance Foundation receives first tranche of €20 million CEB loan
20 February 2023
Community and social enterprise projects from across Ireland can avail of loans between €10,000 and €500,000
Dublin – The Irish social finance organisation, Social Finance Foundation, has received the first tranche of its loan funding from the Council of Europe Development Bank (CEB) in the amount of €8 million.
The funding is part of a €20 million loan between Social Finance Foundation and CEB signed last year, to increase low-cost loan funding to community and social enterprise projects across Ireland. The loan will also contribute to the achievement of Social Finance Foundation’s high growth strategy which aims to almost double its loan book from €56 million currently to €100 million by 2028.
Community and social enterprise projects from across Ireland can now avail of loans between €10,000 and €500,000 through Social Finance Foundation’s partners – Clann Credo and Community Finance Ireland.
The funds are targeted at community and voluntary organisations, sports clubs and facilities, and social enterprises all over the country. A specific objective of the funding made available by CEB, is to support environmental and climate-action initiatives in communities.
Calling on communities to apply for the funding, Brendan Whelan (Chief Executive of Social Finance Foundation) said: “Our average loan size is €65,000, so this funding from the CEB alone has the potential to help over 100 communities and improve the quality of life of thousands of people.”
The Governor of CEB, Carlo Monticelli, said: “We are delighted to partner with Social Finance Foundation to invigorate Ireland’s social finance sector and generate social impact throughout local communities across the country.”
For information:
Social
Finance Foundation
Conor
Dempsey, Dempsey Corporate, Tel: +353-(0)86-247 9892 / conor.dempsey@dempseycorporate.com
CEB
Silvia Zucchini, Head of the Communication
Division, Tel: +33 147 55 71 15 / silvia.zucchini@coebank.org
About
Social Finance Foundation
Social Finance Foundation was
established in 2007 by the Government of Ireland to address the needs of the
community organisations and social enterprises for loan funding which is
difficult to obtain from mainstream financial institutions. Acting as a
‘wholesaler’, it provides funding to its lending partners – Clann Credo and Community
Finance Ireland. Its motto is – ‘Finance for Social Good’. Social Finance
Foundation has provided over €190m in loan finance to community and voluntary
groups since 2007. The Foundation’s loan balances outstanding in December 2022
were €56m.
Unique
Funding Model
Social
Finance Ireland has an operating
model unique to Ireland. It combines the State, acting through the
Government and Department of Finance; the Private Sector through the
representatives of the participating banks (AIB, Bank of Ireland, permanent
tsb); the Third Sector through the Social Lending Organisations (Clann
Credo and Community Finance Ireland);
and the EU through the support of the European Investment Fund and the
Council of Europe Development Bank. It is this extensive and interdependent
combination of support that has enabled the Foundation and its subsidiary Microfinance
Ireland to deliver on its mission to facilitate social development
through utilising finance and financial expertise.
Social
Finance Ireland’s Mission
Its
mission is threefold: Firstly, generate a
strong social impact by funding, through our lending partners, creditworthy
projects with loan finance; Secondly, to support micro-enterprises by providing
loan finance where such is difficult to obtain from mainstream sources;
Finally, working collaboratively, to undertake research and deliver
initiatives which promote social good, with the Irish Government and the Irish
Banking Industry as our sponsors.
About the CEB
Set up in 1956, the CEB (Council of Europe Development Bank) has 42 member states. Twenty-two Central, Eastern and South Eastern European countries, forming the Bank's target countries, are listed among the member states. As a major instrument of the policy of solidarity in Europe, the Bank finances social projects by making available resources raised in conditions reflecting the quality of its rating (Aa1 with Moody's, outlook stable, AAA with Standard & Poor's, outlook stable, AA+ with Fitch Ratings, outlook positive and AAA* with Scope Ratings, outlook stable). It thus grants loans to its member states, and to financial institutions and local authorities in its member states for the financing of projects in the social sector, in accordance with its Articles of Agreement.
*unsolicited
Set up in 1956, the CEB (Council of Europe Development Bank) has 42 member states. Twenty-two Central, Eastern and South Eastern European countries, forming the Bank's target countries, are listed among the member states. As a major instrument of the policy of solidarity in Europe, the Bank finances social projects by making available resources raised in conditions reflecting the quality of its rating (Aa1 with Moody's, on review for upgrade, AAA with Standard & Poor's, outlook stable, AA+ with Fitch Ratings, outlook positive and AAA* with Scope Ratings, outlook stable). It thus grants loans to its member states, and to financial institutions and local authorities in its member states for the financing of projects in the social sector, in accordance with its Articles of Agreement.
*unsolicited