European Investment Fund

Pier Luigi GilibertDen Hague, 31 March 2016

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New EU Programmes helping businesses at every stage

SME Development Stages

PRE-SEED PHASE SEED PHASE START-UP PHASE EMERGING GROWTH DEVELOPMENT

HIGHER RISK LOWER RISK

EIB Programmes

SME Initiative

InnovFin SME Guarantee

ERASMUS+ Master Student loans

Cultural and Creative Sector Guarantee Facility*

Guarantees and debt programmesEquity programmes

COSME Equity Facility for Growth

InnovFin Tech Transfer*

InnovFin SME Venture Capital

EaSI (Employment & Social Innovation)

COSME Loan Guarantee Facility

* Not yet signed

Guarantees – Business model

We work with a wide range of counterparts and products to support SMEs:- through portfolio guarantees- based on a full delegation model to the Financial Intermediary with pre-defined eligibility criteria

Resources and Mandators European

Investment Bank European

Commission Member

States/regions Managing

Authorities Corporates/private Public institutions Other third parties

Intermediaries and counterparts Commercial Banks Development &

Promotional Banks Guarantee

Institutions Leasing Companies Microfinance

Institutions Debt Funds

Micro-enterprises,

SMEsand

Small mid-caps

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The SME Initiative

General Overview

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The SME InitiativeGeneral Overview

Key objectives Leverage the EU budget by mobilising private resources Incentivise Financial Intermediaries to extend new debt

instruments (loans, leases, guarantees) to SMEs Enhance access to SME finance through a reduction of the

overall interest rate charged (transfer of financial benefit) Provide loan loss protection and capital relief on the portfolio to

be originated Two risk-sharing instruments endorsed by the European Council:

1. Option 1: Uncapped portfolio guarantee facility for portfolios of new SME loans/leases• Up to 80% guarantee rate• Signed mandates in Spain, Malta and Bulgaria

2. Option 2: Securitisation instrument for portfolios of both new and existing SME loans, where the originators undertake to provide new financing

* European Structural and Investment Funds (“ESIF”)

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EFSI implementation through EIF

Targets and achievements

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The multiplier effect Leveraging on EUR 5bn to reach EUR 75bn

EFSISMEWEUR 5bn

EUR 2.5bn provided by

EIB EUR 2.5bn guarantee

cover provided by

EFSI

- Accelerated and additional

financing support to SMEs and

SMCs- Removing market gap

EUR 75bn of investments at SME and SMC level

EFSI total size of EUR 21bn:• EUR 16bn is deployed through EIB

Infrastructure and Innovation Window• EUR 5bn deployed by EIF through SME

Window (SMEW)

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SME Window implementationEFSI boosts InnovFin

High leverage effect of EFSI Enables stable and continuous

rollout in spite of annual budgetary contribution cycle

Additional first loss cover provided by unfunded credit protection from EIB to EIF

EIB will be counter-guaranteed by EU under EFSI

EFSI approvals and signatures at 15 March 2016

Total approved of

EUR 3.4 bn

Mobilised investments of

EUR 46.1bn

Expected to benefit more

than 131,700 SMEs and mid-

caps

68% €5bn target

61% €75bn target

71% of EU 28 countries

Via 158

financial transactions

Leveraging RCR

COSME INNOVFI

N resources

Reaching SMEs

across 20

countries9

EFSI approvals and signatures at 15 March 2016

* Covered countries in blue excluding some “multi-country“ equity investment funds

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Reaching SMEs across 20 EU Member States■ Countries covered under

EFSI■ Countries not covered

under EFSI yet

THANK YOU FOR YOUR

ATTENTION

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