Endividamento - Antonio Gaspar

EIF and the Greek Government launch new EUR 260 million Equity Fund-of-Funds


The European Investment Fund (EIF) and the Hellenic republic, represented by the Greek Ministry of Economy and Development have today signed a Funding Agreement to establish a EUR 260 million risk capital Fund-of-Funds. This new financial instrument, which will finance independently-managed funds, aims to facilitate access to finance for entrepreneurs in the country. By attracting private capitals, the Fund will help them turn their ideas into concrete projects with high value added, for the direct benefit of the Greek real economy.

This new initiative will support technology transfer funds in Greece and kick-start investments into accelerator funds. Equity companies, from early stage start-up companies to mature growth companies, will also benefit from the EUR 260 million Fund-of-Funds. The Fund-of-Funds will be instrumental in unlocking the equity potential in the Greek market.
The Fund-of-Funds is supported by the European Structural and Investment Funds (ESI Funds) and will be backed by the European Fund for Strategic Investments (EFSI), the heart of the European Commission's Investment Plan for Europe. It will also be the first time that ESI Funds and the EFSI are combined in Greece. EUR 200 million comes from the Operational Programme Competitiveness, Entrepreneurship and Innovation 2014-2020, supported by the European Regional Development Fund. 
This amount will be complemented by EUR 60 million co-invested by EIF, which will include up to EUR 10 million from EFSI supported resources.

The Hellenic republic, represented by the Greek Ministry of Economy and Development and EIF through their EUR 260 million commitment will constitute the first cornerstone investors in a broader equity investment platform which, is designed to attract more like-minded institutional investors.

Background information

The European Investment Fund (EIF) is part of the European Investment Bank group. Its central mission is to support Europe's micro, small and medium-sized businesses (SMEs) by helping them to access finance. EIF designs and develops venture and growth capital, guarantees and microfinance instruments which specifically target this market segment. In this role, EIF fosters EU objectives in support of innovation, research and development, entrepreneurship, growth, and employment.

The Investment Plan for Europe focuses on strengthening European investments to create jobs and growth. It does so by making smarter use of new and existing financial resources, removing obstacles to investment, providing visibility and technical assistance to investment projects. The Investment Plan is already showing results. The projects and agréments approved for financing under the EFSI so far are expected to mobilise more than EUR 164 billion in total investments across 27 Member States and to support almost 388,000 SMEs. On 14 September 2016, the Commission proposed extending the EFSI by increasing its firepower and duration as well as reinforcing its strengths.