EIB and Banco Desio to mobilise up to €400 million in financing to support innovative investments in small businesses and mid-caps

This article is published in association with European Investment Bank.

• The first €60 million tranche was signed today in Milan as part of a total credit line worth €200 million.
• The agreement will help stimulate €400 million of investment in the real economy, helping to support investments in innovation and digitalisation in Italian businesses.

The European Investment Bank (EIB) and Banco Desio have announced an agreement worth a total of €200 million, in an aim to offer a new financing opportunity for innovative investments in small and medium-sized enterprises (SMEs) and mid-caps in Italy totalling €400 million. The first €60 million tranche was signed today in Milan by EIB Vice-President Gelsomina Vigliotti and CEO and General Manager of Banco Desio Alessandro Decio.

As stated in the agreement signed today, Banco Desio will guarantee a further credit line of the same amount, making a total of €120 million in financing available for businesses as part of this first stage. The aim of the 24-month financing agreement is to allocate at least 30% of its resources to projects helping to promote innovation and digitalisation.

SMEs – businesses with 249 or fewer employees at the consolidated level – and mid-caps – businesses with 2 999 or fewer employees at the consolidated level – will be able to access the new credit line, which has favourable interest rates, to fund investments in innovation or to purchase innovative goods with a minimum term of 24 months.

“Small and medium-sized businesses are fundamental to the economy, not only because they create jobs, but also because of their commitment to innovation and to adopting emerging technologies,” said EIB Vice-President Gelsomina Vigliotti. “As part of this new agreement with Banco Desio, we aim to improve access to finance for hundreds of companies that contribute to Italy’s competitiveness with their innovative projects.”

“We are particularly pleased to work with the European Investment Bank once again to provide our customers with important finance that will support innovative projects in small and medium-sized enterprises, as well as to support investments in technology that can help the companies in the regions in which we operate grow and become more competitive,” said CEO and General Manager of Banco Desio Alessandro Decio.

 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. 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.

BANCO DI DESIO E DELLA BRIANZA S.P.A. Banco Desio was established in 1909 and has been listed on the Milan Stock Exchange since 1995. Today, it is a modern multi-product banking group that is both future-oriented and respectful of tradition, with deep local roots and an organisational structure that is based on offering quality services to customers, including via digital channels. The Banco Desio Group operates in northern Italy, central Italy and Sardinia, with a distribution network of 281 branches and around 2 400 employees. It is also active in the consumer credit sector with Fides S.p.A. and Dynamica Retail S.p.A., financial companies that are specialised in salary-backed loans. In the asset management and bancassurance sector, it operates through distribution agreements with leading national and international counterparties. It holds over €18 billion in total assets.