Press release
CEB and Instituto de Crédito Oficial (ICO) sign a €300 million loan
21 June 2017
With MSMEs in the country providing 73% of all jobs, compared to the EU
average of 66%, the aim is to strengthen the competitiveness of small
businesses and support job creation and preservation. The CEB loan will thus
also contribute to strengthening social cohesion, which is at the core of its
mandate.
The most recent CEB loan follows in the footsteps of three previous
operations totaling €880 million, approved in 2013, 2014 and 2016. The loan
will be augmented by ICO at least with the same amount and will provide MSMEs
with cost-effective funding for financing long-term, productive investments.
The emphasis will be on the smaller segment of the Spanish MSME market, thereby
helping to close a major financing gap.
Channeled through accredited financial intermediaries, CEB funds will
enable MSMEs to finance the purchase of fixed assets such as machinery,
equipment, vehicles, and office and manufacturing premises.
ICO is a state-owned bank which promotes economic activities contributing to growth, development and the improvement of the distribution of the national wealth. It has played an important role in financing businesses during the most difficult stages of the financial crisis.
Set up in 1956, the CEB (Council of Europe Development Bank) has 41 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, AA+ with Standard & Poor's, outlook stable and AA+ with Fitch 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.