The Bulgarian Development Bank and DSK Bank sign an agreement under the InvestEU programme
The guarantee will provide financing to businesses in Bulgaria exceeding EUR 300 million
The Bulgarian Development Bank (BDB) and DSK Bank have signed an agreement for the provision of guarantees under the InvestEU programme.
The agreement will secure resources for new financing to Bulgarian businesses for over EUR 300 million, supporting the competitiveness, digital transformation, modernisation and job creation.
The Agreement was signed by Mr. Tsanko Arabadzhiev, Executive Director of the Bulgarian Development Bank, and by Mr. Boyan Stefov and Mr. Slaveyko Slaveykov, Executive Directors of DSK Bank.
The support provided by BDB covers two InvestEU windows – the Member State compartment and the EU compartment.
The financial product is targeted at micro-enterprises, small and medium-sized enterprises, as well as mid-cap companies with up to 499 employees, which require funding to expand their activities, implement innovations or increase productivity.
“Through the partnership between DSK Bank and BDB, we are giving small and medium-sized enterprises easier access to financing, helping them invest and grow sustainably with the support of a reliable banking partner,” commented Slaveyko Slaveykov, Executive Director and Head of Retail Banking at DSK Bank.
The InvestEU guarantee will enable the bank to grant new loans by assuming higher risk and offering more favourable conditions to companies.
“The InvestEU programme allows us to support more Bulgarian enterprises with flexible credit solutions, as two-thirds of the resources to be directed to businesses outside major cities, in support of regional development,” added Boyan Stefov, Executive Director and Head of Corporate Banking at DSK Bank.
According to Tsanko Arabadzhiev, Executive Director of BDB, expanding access to finance is among the bank’s main priorities.
“Through the InvestEU programme, we are creating an effective mechanism that shares risk with commercial banks and enables them to support more ambitious investment projects. This is an important precondition for the modernisation of enterprises, increased productivity and the sustainable development of regions in Bulgaria.”
“As a bank with a public mission, BDB works towards the long-term and balanced economic development of the country. InvestEU guarantees are a key instrument for overcoming regional disparities and encouraging investment outside major economic centres. I am confident that our joint work with DSK Bank will give a strong boost to small and medium-sized enterprises and contribute to more sustainable and inclusive growth,” said Delyana Ivanova, Chair of the Supervisory Board of BDB.
InvestEU is the European Union’s main investment instrument for the 2021–2027 period, aiming to mobilise more public and private resources in support of a sustainable economy, small businesses and innovative projects.
The Bulgarian Development Bank is among the 17 implementing partners accredited to manage European funds and budgetary instruments. The state-owned bank was approved for this role in 2023.
