The European Investment Bank (EIB) and Deutsche Leasing announced the launch of the second phase of a €560 million project to support small businesses and mid-caps focusing on green transformation.
As part of this initiative, the EIB has approved a total of €200 million in financing, with the first €50 million signed in February.
This programme will enable Deutsche Leasing to provide financing for energy-saving machinery, low-carbon mobility technologies, and other environmentally focused solutions, benefiting small and medium-sized enterprises (SMEs) and mid-caps.
The funding will support businesses in Germany and Eastern Europe in making long-term investments in sustainable technologies.
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The second phase of the project will prioritise climate-focused investments, with at least 30% of the EIB funds allocated to projects that promote environmental sustainability.
This includes financing energy-efficient industrial equipment, agricultural machinery, and climate adaptation measures.
The initiative is expected to benefit approximately 570 SMEs and mid-caps by facilitating access to funding and supporting over 47,000 jobs.
The EIB, which holds a top AAA credit rating, enables it to raise funds at favourable rates in capital markets.
These benefits will be passed on to SMEs and mid-caps, allowing them to grow their businesses while investing in green technologies and supporting their transition to a low-carbon economy.
Nicola Beer, the EIB Vice-President, said, “SMEs and MidCaps are the backbone of our European economy.”
She added, “Supporting them is one of the core missions of the EIB. Together with financing partners like Deutsche Leasing, we provide long-term, stable financing for the Mittelstand to invest in innovative projects for the green and digital transition and help foster the European competitiveness.”
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The collaboration between the EIB and Deutsche Leasing will allow smaller-scale projects that may not qualify for standalone EIB funding to access financing.
This builds on the successful partnerships in 2020 and 2023, where Deutsche Leasing Romania secured guarantees to fund small businesses and mid-caps.