20.05.2021 BDB starts market consultations on participation in InvestEU
Resource under new guarantee instruments will reach BGN 1.3 billion.
The Bulgarian Development Bank (BDB) has started working on structuring two new guarantee products under the EU program InvestEU. Through them, BDB will support projects aimed at creating sustainable infrastructure in the field of environment and strengthen the competitiveness of small and medium-sized enterprises. The total resource that can be mobilized in support of Bulgarian companies and public enterprises is up to BGN 1.3 billion.
One of the instruments is aimed at investing in the implementation of water and waste management policies and is in line with the circular economy. Part of the instrument will invest in the construction of electric vehicle charging infrastructure. The coverage of guarantee financial instruments is expected to reach BGN 300 million.
The second instrument focuses on another specific objective of the InvestEU program, namely to improve access to funding for small and medium-sized enterprises, including mid-caps, under more favorable market conditions. The goal is to improve the competitiveness of enterprises, including by increasing their capacity for digitization and innovation. The product coverage is expected to reach BGN 978 million.
The consultations are aimed at both potential financial intermediaries, such as commercial banks, leasing companies and non-bank financial institutions, and interested borrowers. The aim of the study is to measure the market demand and to help structure the appropriate instruments.
The InvestEU program will be implemented for the 2021/2027 period as the EU's main instrument for investing in economic recovery, environmental progress and employment in Europe. It is one of the tools to support growth after the Covid crisis and to achieve the EU's goals of building a green, digital and sustainable European economy.