Illimity Bank and EIB sign €200m agreement to support Italian SMEs
Italy’s Illimity Bank has signed a €200 million agreement with the European Investment Bank (EIB) to support the working capital needs of SMEs.
EIB and Illimity sign EUR 200m agreement
EIB will lend €100 million to Illimity, which in turn will facilitate another €100 million in funding this year to small and medium-sized businesses across Italy.
This will be done through its digital bank b-ilty, which provides financial services and credit to companies with a turnover of €2 million to €15 million.
As per the agreement, 30% of the funds will have to be used towards financing businesses in the Cohesion Regions of the country to aid the EU’s objective of economic, social and territorial development.
Additionally, 20% of the funds must support Italian businesses who are investing in energy transition, with a focus on projects that are consistent with the EU’s sustainability goals such as energy efficiency, renewable energy, electric vehicles and charging infrastructure, and sustainable water and waste management.
EIB vice president Gelsomina Vigliotti says: “The aim of this operation with Illimity is to foster two of the EIB’s transverse objectives, namely climate and social cohesion, by providing new funding at favourable terms for small and medium-sized businesses wishing to invest in a more sustainable and inclusive future.”
This is the second agreement between the two firms, following the €1 billion funding facilitated in 2021 to support Italian SMEs.
