First CIP guarantee agreements in Slovakia

The European Investment Fund (EIF) and Československá obchodná banka (CSOB), have signed two CIP Guarantee Agreements under the Loan Guarantee and Micro-Credit Window to support Small and Medium-sized Enterprises (SMEs) in Slovakia.

Thanks to these transactions under the Competitiveness and Innovation Programme (CIP), SMEs and micro-enterprises in Slovakia can now have easier access to finance while also benefiting from a new working capital term loan product and reduced collateral requirements.

The two CIP Guarantee Agreements under the Loan Guarantee and Micro-Credit Window will allow CSOB to substantially increase its lending volumes to micro, and SMEs in Slovakia and will help to generate a new portfolio of loans worth up to approximately EUR 140m over the next three years. More than 6,000 Slovak SMEs could potentially benefit from these transactions.

Mr. Gunnar Mai, Head of CIP SME Guarantee Facility at the EIF said: “I am delighted to be signing our first agreements under the CIP programme in Slovakia with CSOB for the benefit of Slovak SMEs. Entrepreneurs in Slovakia will be helped to develop their businesses thanks to these transactions under the CIP programme by allowing CSOB to increase its lending volumes.”

Daniel Kollár, CEO of Československá obchodná banka, a.s. "We are very proud to be the first Slovak bank starting such a cooperation with EIF with the aim to support one of the most important pillars of our economy – the SMEs and micro-enterprises. Thanks to the CIP programme we will be able to further strengthen the development of this segment also in this difficult economic environment.”

About the EIF

EIF's central mission is to support Europe's small and medium-sized businesses (SMEs) by helping them to access finance.  EIF designs and develops venture capital and guarantees 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 EIF total net commitments to private equity funds amounted to over EUR 6.9bn at end 2012. With investments in over 435 funds, the EIF is a leading player in European venture due to the scale and the scope of its investments, especially in high-tech and early-stage segments. The EIF guarantees loan portfolio totalled over EUR 4.8bn in close to 255 operations at end 2012, positioning it as a major European SME guarantees actor and a leading micro-finance guarantor.

About Československá obchodná banka

Československá obchodná banka (ČSOB) is one of the leading players in the Slovak banking market. It is an universal bank providing services to all client segments, including small and medium enterprises. ČSOB is a member of the broadest financial group in the Slovakia – the ČSOB Financial Group.

About the CIP programme

The Competitiveness and Innovation Framework Programme (CIP), which spans from 2007 to 2013, has been put in place to boost European productivity, innovation capacity and sustainable growth, whilst simultaneously addressing complementary environmental concerns.

Within the framework of the CIP, the European Investment Fund (EIF) has been allocated EUR 1.1bn to be split between venture capital – with the High Growth and Innovative SME Facility (GIF) - and guarantees – with the SME Guarantee Facility (SMEG).

Press contact:

• EIF: David Yormesor, tel : +352 42 66 88 346 , e-mail : d.yormesor@eif.org
• Československá obchodná banka: Zuzana Eliášová, Spokesperson, tel.: +421 2 59 66 58 25, +421 902 910 111 - e-mail: zueliasova@csob.sk, press@csob.sk