EIB provides €250 million to Finlombarda for businesses in Lombardy

This article is published in association with European Investment Bank.

• The first €150 million tranche was signed today as part of the €250 million package approved by the EIB.
• Finlombarda, the finance firm of the Lombardy region, will equal the EIB loan and provide a maximum of €250 million in financing for companies, raising the total available amount to €500 million.
• The EIB and Finlombarda have signed an additional technical assistance agreement as part of the Green Gateway programme to boost green financing.

The EIB is working with the Lombardy regional authorities and Finlombarda to provide €250 million to support companies in the region. At least €50 million of this amount will go to projects contributing to the fight against climate change. The first €150 million tranche of the EIB loan to Finlombarda supporting these main goals was signed yesterday.

Finlombarda will also put its resources forward to support small and medium-sized enterprises (SMEs – companies with up to 250 employees) and mid-caps (250 to 3 000 employees) in Lombardy. Thanks to Finlombarda and the EIB, a total of up to €500 million in financing will be available to these two types of business.

Companies will also benefit from favourable conditions offered by the EIB in the form of competitive rates and long loan terms. One-fifth (20%) of the total amount will be used to support green projects focusing on areas such as renewable energy generation and investments in energy efficiency.

Since 2009, the EIB and Finlombarda have signed three financing operations worth over €750 million. This has strengthened their strategic partnership based on a shared objective of stimulating economic growth and environmental sustainability in Lombardy.

The signing of this agreement entails a further commitment to the green transition. This is stipulated in a technical assistance agreement, with the aim of stepping up investments in environmental sustainability under the Green Gateway programme.

EIB Vice-President Gelsomina Vigliotti said: “Cooperation between the EIB, the Lombardy region and Finlombarda is key to supporting innovation, competitiveness and resilience in Lombardy-based businesses. This joint commitment will help create new jobs and deliver significant economic benefits for the area. Our goal is to promote sustainable economic growth by backing the shift to a low-carbon economy.”

Vice-President and Councillor for Budget and Finance of the Lombardy Region Marco Alparone said: “The EIB-Finlombarda agreement is an important step forward in continuing to support and boost the competitiveness of companies in Lombardy. To this end, the Lombardy region is maintaining its strategic commitment to promoting innovative business investments – particularly those focusing on the green transition – helping industry in the region to seize the opportunities of sustainable growth.”

Finlombarda Chair Andrea Mascetti said: “EIB funding allows Finlombarda to respond effectively to the region’s needs, and to cater for a wide range of clients and a variety of credit requirements, in line with regional planning objectives and the role of our institution.”

Background information

The European Investment Bank (ElB) is the long-term lending institution of the European Union, owned by its Member States. It finances investments that contribute to EU policy objectives. EIB projects bolster competitiveness, drive innovation, promote sustainable development, enhance social and territorial cohesion, and support a just and swift transition to climate neutrality. The EIB Group, which also includes the European Investment Fund (EIF), signed a total of €88 billion in new financing for over 900 projects in 2023. These commitments are expected to mobilise around €320 billion in investment, supporting 400 000 companies and 5.4 million jobs. In the last five years, the EIB Group has provided more than €58 billion in financing for projects in Italy. All projects financed by the EIB Group are in line with the Paris Climate Agreement. The EIB Group does not fund investments in fossil fuels. We are on track to deliver on our commitment to support €1 trillion in climate and environmental sustainability investment in the decade to 2030 as pledged in our Climate Bank Roadmap. Over half of the EIB Group’s annual financing supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment. Approximately half of the EIB’s financing within the European Union is directed towards cohesion regions, where per capita income is lower.

Finlombarda SpA is the financial firm of the Lombardy region and a financial intermediary supervised by the Bank of Italy. Since 1971, its role has been to help implement economic development programmes in Lombardy. Finlombarda designs, creates and manages financial products using its own resources, as well as those provided by the region and the European Union. It then supports businesses, freelancers and public services in Lombardy. It offers free and personalised services – both basic and advanced – to improve innovation, sustainability and strategies to expand into international markets. It helps SMEs in Lombardy secure risk capital and European funding as part of the SIMPLER consortium, which facilitates access to the Enterprise Europe Network. It helps the Lombardy region to plan and organise financial operations in strategic sectors to make the region as attractive and competitive as possible. Its managing director is Giovanni Rallo.