EU Access to Finance Day Paris, 23 May 2014 European Investment - PowerPoint PPT Presentation

EU Access to Finance Day Paris, 23 May 2014 European Investment Bank Group 06/06/2014 European Investment Bank Group 1

EIB activities for SMEs: Past achievements and future products Structure of presentation 0. Overview of EIB Group activities 1. EIB products for SMEs – Key priority for EIB 2. EIB Group deliveries to SMEs in France 3. New initiatives 4. Looking forward and conclusions 06/06/2014 European Investment Bank Group 2

Providing finance and expertise for sound and sustainable investment projects Leading developer of risk financing for SMEs 06/06/2014 European Investment Bank Group 3

Growth and jobs: four key priorities We work to promote sustainable growth and job creation in Europe and beyond 06/06/2014 European Investment Bank Group 4

Different tools for different targets We help catalyse investment LENDING BLENDING ADVISING Loans Combining EIB finance Prepare & implement But also: with EU budget projects (JASPERS) (Project Bond Initiative) Guarantees Support for public / (trade financing) Higher risk projects for private partnerships innovation (RSFF) (EPEC) Equity participation Attracting FUNDING for long ‐ term growth 06/06/2014 European Investment Bank Group 5

EIF at a Glance EU EU specialised specialised institution nstitution for for SMEs MEs risk risk financing financing  Debt - Debt - Structuring and Guaranteeing portfolios of SME  loans/leases and microcredit Equity Equity - Venture Capital and Mezzanine (fund of funds)  Founded in 1994 & started  providing VC to businesses in Geographic Focus: EU 28, Geographic Focus:  1997 EFTA, Candidate Countries Mul Multilat ilater eral al De Developme velopment  Bank (MDB) Bank (MDB) status status Distrib Di ribution t tion through ugh  Banks and Funds (Full Banks and Funds Basel II 0% risk Basel isk weighting eighting  delegation) Aaa/AAA/AAA Aaa/AAA/AAA ratings tings  (Moody’s/S&P/Fitch) Shareholding holding Structur ucture:  EIB: EIB: 62.2%, 62.2%, EIB shareholders: 28 EU Member States  EC: 30% EC: 30%  Eur European opean Financial inancial Institutions: Institutions: 7.8 .8 %  06/06/2014 European Investment Bank Group 6

EIF at a Glance “ We manage resources from different stakeholders ” European European National & Investment Commission Regional Funds Bank  2007-2013  13 European and regional Competitiveness and Funds-of-Funds including  Risk Capital Resources Innovation Framework the Baltics, Germany, (RCR) Progr. (CIP) EUR 1bn Portugal, Spain,Turkey, EUR 7bn allocated to equity and UK  EREM Mandate: up to guarantees  14 Holding Funds EUR 4bn over the next 7  Risk-Sharing Instrument supported by structural years (RSI) EUR 270m funds EUR 1.2bn  Progress Microfinance EUR 205m 06/06/2014 European Investment Bank Group 7

EIB Group activities for SMEs: Past achievements and future products 0. Overview of EIB Group activities 1. EIB products for SMEs – Key priority for EIB 2. EIB Group Deliveries to SMEs in France 3. New initiatives 4. Looking forward and conclusions 06/06/2014 European Investment Bank Group 8

Overview EIB Group SMEs/Mid-caps Products Microenterprises SMEs Mid-caps indirect indirect indirect/direct EIB Mid-cap Initiative loans & gtees, RSFF EIB Intermediated Loans Senior Loans / Guarantees EIB Growth EIF Guarantees and Securitisation Finance Initiative EIF Microfinance EIF RCR Mezzanine Hybrid / for Growth Mezzanine EIF Venture and Growth Capital Funds of Funds, Tech Transfer, Equity Business Angels EIF Products EIB Products 06/06/2014 European Investment Bank Group 9 05/02/2014

EIB Group Products Range SMEs and small Mid-Caps SMEs and small Mid-Caps Large Caps Large Caps Mid-Caps Mid-Caps Typically > 3,000 Employees Typically > 3,000 Employees < 500 Employees < 500 Employees < 3,000 Employees < 3,000 Employees Intermediated Intermediated Intermediated and/or direct Intermediated and/or direct Direct Corporate Lending Direct Corporate Lending SME/Mid-Cap Financing SME/Mid-Cap Financing Corporate lending Corporate lending Transaction Size EUR 7.5m EUR 300m EUR 25K EUR 25m 2 nd Valley of Death Funding 1 st Valley of Death Phases Pre-seed Start-up / Mezzanine/Growth Commercialization / Industrialization Growth / Stability Seed Funding 06/06/2014 European Investment Bank Group 10

EIB Group Intermediated Lending: Loan for SMEs and Mid-Caps • Main funding product of the EIB aiming at improving conditions and enhancing access to finance for SMEs • Standardized product reaching a very large and diversified number of SMEs via Financial Intermediaries 3 Pillars: • Transfer of Financial Complementarity Transparency Advantage (ToFA) • Financial • EIB leverage effect • Final beneficiaries intermediaries min. 2 times are informed of EIB benefit from involvement financial value added and transfer an agreed share to the final beneficiaries 06/06/2014 European Investment Bank Group 11 05/02/2014

EIB Direct Lending and Risk Sharing Instruments to the benefit of innovative MidCaps • Growth Finance Initiative (GFI) = Direct financing (loans, quasi ‐ equity and mezzanine) for amounts between 7.5m – 25m to innovative MidCaps • Mid ‐ cap Initiative (MCI ) = Senior risk sharing with financial intermediaries for innovative MidCaps • Risk Sharing Finance Facility (RSFF) • Other financing facilities of EIB and EIF where appropriate with the European Commission : Guarantees and counter ‐ guarantees (via financial intermediaries), Risk ‐ Sharing Finance Facility for SMEs and small MidCaps (RSI) 06/06/2014 European Investment Bank Group 12 05/02/2014

EIB activities for SMEs: Past achievements and future products Structure of presentation 0. Overview of EIB Group activities 1. EIB products for SMEs – Key priority for EIB 2. EIB Group Deliveries to SMEs in France 3. New initiatives 4. Looking forward and conclusions 06/06/2014 European Investment Bank Group 13

EIB Group in France EIB Group Activities in France 9 000 EIB Group Access to Finance/SMEs 8 000 25 7 000 3,4 20 6 000 EUR Millions 5 000 15 2012 EUR bn EIF 2013 8 360 4 000 EIB 10 18,5 3 000 5 4 600 2 000 0 1 000 Signed amounts 1 334 770 0 Total SMEs/Midcaps • Total EIB Group for Access to finance/SMEs amounted to EUR 21.9bn in 2013 In France, total activity of the EIB Group amounted to EUR 8.36bn (+93%) • • of which EUR 1.34bn intermediated lending for SMEs (+73%) 06/06/2014 European Investment Bank Group 14 05/02/2014

Financer les PME et les ETI avec Bpifrance Partenariat signé en juin 2013 Premières concrétisations: septembre 2013  Accord de refinancement : 750 millions €  Garantie FEI/RSI: 200 millions € Objet: financement conjoint des TPE/PME, ETI français et entreprises innovantes; renforcer l’additionnalité des produits des deux institutions; point de contact unique pour le bénéficiaire auprès de Bpifrance 06/06/2014 European Investment Bank Group 15

EIB activities for SMEs: Past achievements and future products 0. Overview of EIB Group activities 1. EIB products for SMEs – Key priority for EIB 2. EIB Group Deliveries to SMEs in France 3. New initiatives 4. Looking forward and conclusions 06/06/2014 European Investment Bank Group 16

Investing for Youth – new initiatives in 2013 06/06/2014 European Investment Bank Group 17

Possible EU-EIB Group Financial Instruments Central EU instruments Structural/Cohesion Joint instrument Funds Research, Development, Horizon 2020 Innovation Equity Facility for R&I Instruments under SME and Small Mid Caps Guarantee Facility for RI Structural and (RSI successor) Cohesion Funds [EUR 1.06bn] for guarantees New SME Initiative to SMEs/small mid caps. Pooling of resources from EU level instrument [EUR 0,45bn] for equity European Structural and (contribution of Member State Investment Funds (ESIF), Creative Europe (MS) funds from Operational COSME and Horizon Cultural and Creative Programmes to centrally 2020, EIB/EIF and national Sector Guarantee Facility managed EU programs) promotional banks [EUR 120m] Competitiveness & SME (COSME) Jobs, Guarantees of new loans to Off-the shelf [EUR 1.4bn] (current prices): Growth SMEs, securitization of instruments Equity Facility for Growth existing SME loans and (GIF successor) Social [EUR 690m] [EUR 8.5bn] from ESIF Erasmus for all Tailor-made Loan Guarantee Facility Cohesion [EUR 0,18bn] from H2020 [EUR 746m] Student Loan Guarantee instruments [EUR 0,18bn] from COSME (CIPsuccessor) Facility [EUR 606m] Significantly higher amounts Social Change than currently, but to be decided & Innovation by each MS Progress Microfinance II Social enterprise investing [EUR 192m] 06/06/2014 European Investment Bank Group 18 Source: EC, adapted

EIB activities for SMEs: Past achievements and future products 0. Overview of EIB Group activities 1. EIB products for SMEs – Key priority for EIB 2. EIB Group Deliveries to SMEs in France 3. New initiatives 4. Looking forward and conclusions 06/06/2014 European Investment Bank Group 19