Bulgarian businesses to get €340 million financing boost under new agreement between EIB Group and Allianz Bank Bulgaria

This article is published in association with European Investment Bank.

• Allianz Bank Bulgaria to boost lending to Bulgarian small and medium-sized enterprises and Mid-Caps under accord with EIB Group.
• Agreement to unlock around €340 million in new financing over three years by freeing up lending capacity through tool called synthetic securitisation.
• Portion of new loans to focus on climate action and environmental sustainability.

A range of Bulgarian businesses will be eligible for around €340 million in financing under a new agreement between the European Investment Bank (EIB) Group and Allianz Bank Bulgaria. The accord enables Allianz Bank Bulgaria to increase loans for Bulgarian small and medium-sized enterprises (SMEs) as well as Mid-Cap companies by shifting credit risk to the EIB Group – a transaction known as a synthetic securitisation.

The deal frees up lending capacity for Allianz Bank Bulgaria, which has committed to provide about€340 million in new financing to SMEs and Mid‑Caps over the next three years. More than €80 million of the new lending will be directed towards climate-action and environmental-sustainability projects, strengthening both the green transition and economic growth in Bulgaria.

“This agreement shows how innovative financial instruments can deliver tangible benefits for the real economy,” said EIB Vice-President Marek Mora. “By providing capital relief to Allianz Bank Bulgaria, we are enabling more financing for Bulgarian small businesses and Mid-Caps, helping them to invest, grow, create jobs and accelerate the transition towards more sustainable business models.”

Under the accord, the European Investment Fund (EIF) arm of the EIB Group is providing protection on a mezzanine tranche of €30.3 million, which is counter‑guaranteed by the EIB. In addition, the EIF is offering protection on a senior tranche of around €219 million, partially counter‑guaranteed by the EIB.

The underlying portfolio includes SME and consumer loans with a total outstanding balance of approximately €252 million. Allianz Bank Bulgaria retains the junior tranche of the portfolio, amounting to roughly €3.2 million.

“The partnership with the EIB Group is a strategic step for us and enables us to significantly expand our support for the Bulgarian business sector. Our focus is to provide accessible and flexible financing to companies investing in development, innovation and sustainable growth,” said Georgi Zamanov, Chief Executive Officer of Allianz Bank Bulgaria. “Through this cooperation, we will enable more companies to implement their investment plans and enhance their competitiveness in the long term.”

Lyuba Pavlova, Chief Financial Officer and Executive Director of Allianz Bank Bulgaria, added:
“Synthetic securitisation is an effective instrument for optimising capital and improving the bank’s risk profile. It allows us to free up resources and direct them towards new lending while maintaining a solid capital position and a clear focus on sustainable and environmentally responsible investments.”

The new agreement marks the second synthetic securitisation between Allianz Bank Bulgaria and the EIB Group. The first accord, signed in December 2023, included protection on a mezzanine tranche of €29 million and on a senior tranche worth more than €175 million, also in support of small and medium-sized businesses in Bulgaria with a focus on environmental projects.

“Securitisation is an effective way to expand access to affordable financing for small businesses while supporting Europe’s climate and growth objectives,” said EIF Chief Executive Marjut Falkstedt. “This second synthetic securitisation with Allianz Bank Bulgaria underlines the strength of our partnership and our shared commitment to mobilising private capital for environmentally sustainable investment by SMEs.”  

Background information  

EIB Group  

The European Investment Bank (EIB) 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 in new financing and advisory services for over 870 high-impact projects under eight core priorities that support EU policy objectives. In Bulgaria, the EIB Group committed over €646 million in 2025, a 72% increase compared to the previous year.

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-sized businesses and startups across Europe. Acting as an anchor investor, through its extensive network of partnering banks and investment funds, the EIF mobilises private investment and nurtures the ecosystem of venture capital funds to support innovative European entrepreneurs.

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

Allianz Bank Bulgaria

Allianz Bank Bulgaria is a universal bank with more than 25 years of experience on the Bulgarian market, offering a full range of financial services to individual and corporate clients. The bank is part of Allianz SE – one of the world’s leading financial services providers, serving over 97 million customers in around 70 countries.

Allianz Bank Bulgaria is among the leading banks in the country and ranks in the top 10 of the Bulgarian banking sector, according to Capital’s ranking. The bank follows a sustainable development model, with a strong focus on business financing, innovation and long-term economic growth, while supporting the transition to a more sustainable and environmentally responsible economy.