EIB Group and BNP Paribas sign new securitisation transaction to support French small businesses and mid-caps

This article is published in association with European Investment Bank.

• The EIB Group has signed a synthetic securitisation transaction with BNP Paribas for a total amount of €112 million. 
• The EIB Group’s support will enable BNP Paribas to partially release its regulatory capital, so facilitating an additional commitment of about €337 million in new financing for French SMEs and mid-caps.
• At least €101 million of these funds will be allocated to projects promoting the transition to climate neutrality.

The EIB Group (formed by the European Investment Bank, EIB, and the European Investment Fund, EIF) has signed its sixth synthetic securitisation transaction with BNP Paribas since 2017. Building on the five previous transactions, its investment will support small and medium-sized companies and green projects in France contributing to the transition to climate neutrality.

Specifically, the parties executed a synthetic securitisation through which the EIB Group invests a total of €112 million to reduce BNP Paribas’ risks associated with existing loans to facilitate new lending. Under the arrangement, BNP Paribas pledges to supply new lending of €337 million to French small and medium-sized enterprises (SMEs), mid-caps and green investment projects, over a two-year period. At least 30% of the new lending will be allocated to projects aligned with climate action and environmental sustainability, highlighting the commitment of BNP Paribas and the EIB Group to supporting the transition to a low-carbon economy.

Clotilde Quilichini, Head of Corporate Clients within BCEF, BNP Paribas, remarked:”As part of this sixth operation with EIB Group since 2017, we are pleased to commit to 337 million euros in new loans to support French SMEs and mid-caps in their development, particularly in their efforts to accelerate their energy transition. These new financings add to our many initiatives aimed at helping our business clients across the country realize their growth projects”.

EIB Vice-President Ambroise Fayolle explained: “With this new joint securitisation transaction, the EIB and BNP Paribas are continuing their efforts to facilitate access to finance for small businesses and mid-caps. This transaction will also support investments that advance climate action and environmental sustainability, helping SMEs to adapt and remain competitive in face of global challenges, like climate change and technological disruptions.”

EIF Chief Executive Marjut Falkstedt added: “BNP Paribas is a long-standing and trusted partner for the EIF, and we are thrilled to continue our cooperation to support French companies seeking financing for their investments. Securitisation has proven to be a highly effective tool for generating new financing opportunities – particularly in green finance – while also helping to advance the EU’s Savings and Investment Union objectives.”

Technical note on the transaction

In this synthetic securitisation transaction, the EIF is providing protection on a mezzanine tranche of €112 million, which is in turn counter-guaranteed by the EIB. BNP Paribas retains the senior and junior tranche. Through the unfunded guarantee, BNP Paribas transfers the credit risk of the mezzanine tranche, while the securitised loan portfolio remains on the bank’s balance sheet, reflecting the synthetic nature of the transaction. The deal qualifies as an STS (Simple, Transparent and Standardised) securitisation.

The underlying portfolio, with a total outstanding balance of approximately €1.5 billion, comprises mid-corporate loans originated by BCEF, representing BNP Paribas’ exposures to mid-cap and upper-SME segment corporate borrowers.

The transaction is structured with a pro-rata amortisation, which is subject to switch-to-sequential triggers defined by portfolio credit performance indicators, including default and loss metrics. The transaction also features a synthetic excess spread, and a two-year replenishment period, during which the portfolio may be replenished with additional eligible assets. The replenishment period is, likewise, subject to portfolio-level performance criteria.

The structure has been designed to deliver optimal risk-weighted asset (RWA) relief over the life of the transaction, thereby freeing up lending capacity and enabling BNP Paribas to further support financing to the real economy.

Background information   

The EIB Group  

The European Investment Bank (ElB) Group is the financing arm of the European Union, owned by the 27 Member States, and one of the largest multilateral development banks in the world. In 2025, the EIB Group signed €100 billion of new financing and advisory services for over 870 high-impact projects in eight core priorities that support EU policy objectives: climate action and the environment, digitalisation and technological innovation, security and defence, territorial cohesion, agriculture and the bioeconomy, social infrastructure, strong global partnerships and the savings and investment union. Beyond long-term loans for large infrastructures, the EIB Group crowds-in private investment for high-risk innovative projects and businesses, with a growing role in Europe’s markets for venture debt, venture capital, guarantees and securitisations.

The European Investment Fund (EIF) is the subsidiary of the EIB Group specialised in providing guarantees and equity to improve access to finance for small and medium size businesses and startups across Europe. Acting as an anchor investor, through its extensive network of partnering banks and investment funds, the EIF mobilizes private investment and nurtures the ecosystem of venture capital funds to support innovative European entrepreneurs.

In 2023, the EIF together with six member states (France, Germany, Italy, Spain, Belgium and the Netherlands) launched the European Tech Champions Initiative, a fund of funds to scale-up innovative startups. This initiative has already enabled the creation of 12 European venture capital mega-funds and scaled up 38 companies, including 11 unicorns (with more than €1 billion in capital).

Photos of the EIB Group’s spokespeople and headquarters, logo files and video B-roll for media use are available here. 

 About BNP Paribas

Leader in banking and financial services in Europe, BNP Paribas operates in 64 countries and has nearly 178,000 employees, including more than 144,000 in Europe. The Group has key positions in its three main fields of activity: Commercial, Personal Banking & Services for the Group’s commercial & personal banking and several specialised businesses including BNP Paribas Personal Finance and Arval; Investment & Protection Services for savings, investment and protection solutions; and Corporate & Institutional Banking, focused on corporate and institutional clients. Based on its strong diversified and integrated model, the Group helps all its clients (individuals, community associations, entrepreneurs, SMEs, corporates and institutional clients) to realise their projects through solutions spanning financing, investment, savings and protection insurance. In Europe, BNP Paribas has four domestic markets: Belgium, France, Italy and Luxembourg. The Group is rolling out its integrated commercial & personal banking model across several Mediterranean countries, Türkiye, and Eastern Europe. As a key player in international banking, the Group has leading platforms and business lines in Europe, a strong presence in the Americas as well as a solid and fast-growing business in Asia-Pacific. BNP Paribas has implemented a Corporate Social Responsibility approach in all its activities, enabling it to contribute to the construction of a sustainable future, while ensuring the Group’s performance and stability.