European Investment Bank provides BGN 70m loan to finance small businesses in BG

Two new loans for over 70 million BGN are granted by the European Investment Bank (EIB) to finance projects of small and medium-sized companies in Bulgaria and for digitization. The EIB Vice-President Vazil Hudák arrived in Bulgaria to sign the agreement.

Almost three hundred small and medium-sized businesses will be able to develop their projects through the European Investment Bank loan this year. According to the financial institution, this will create at least 8,000 new jobs. The funds are distributed through one of the banking institutions in Bulgaria.

Vazil Hudák: In 2019, we want to focus more on the development of local and regional infrastructure, local growth, for example, we are working very actively with the fund of funds, with the Ministry of Finance. We partner for urban development and are partners in building a city platform for development through which we support local projects in Bulgaria.

In addition, Hudák has also signed the granting of a loan for a software company that helps financial service providers digitize their business. This is the first risk debt financing of the bank in Bulgaria.

Vazil Hudák: Bulgaria has great IT talent - it is one of the hubs of Europe when we talk about digitization and people who know how to work with digital information.

The European Investment Bank reminded that funding of BGN 217 million was provided for Bulgaria for 2018, two of the supported projects being the Sofia Underground and the development of the Sofia District Heating network.