Loans of €2.5 billion with favorable terms for 60,000 SMEs

Four financial programs totaling €2.5 billion are included in the "Know your customer" initiative of the Hellenic Development Bank.

The program will provide access to bank lending to 60,000 small and medium-sized enterprises that are feasible but were excluded from banks due to size.

The program includes four financial sub-programs, totaling €2.5 billion.

As the managing director of the Hellenic Development Bank, Athina Chatzipetrou, pointed out, the "Know your customer" platform will be interconnected with AADE, EFKA and Teiresias in order to certify the tax, insurance awareness and solvency of the companies concerned. On the same platform, entrepreneurs will submit their business plans in a standardized form and declare the banks they want to approach, while there will be barriers aimed at the banks' response.

The programms

1. Green co-financed loans with partial subsidization of the interest rate for small and medium enterprises active in the fields of energy efficiency/transition as well as in the development of RES. They are loans of 80,000-8 million Euros with 40% co-financing from the program and 60% from the bank, and a duration of 5-10 years.
2. Digital upgrade loans of 25,000-1 million Euros with 40% co-financing from the program and 60% from the bank and a duration of 2-10 years for digitalization of activities with the aim of increasing productivity.
3. Loans of 10,000-1.5 million Euros for working capital with 40% co-financing from the program and 60% from the bank, duration 2-5 years with the aim of dealing with increased energy costs and protecting jobs.
4. Loans of 50,000-10 million Euros for businesses that have joined the development law with a fund guarantee of 80%, lasting up to 10 years.

A key advantage for businesses is that the part of the loan that is co-financed by the bank is interest-free, resulting in a 40% lower final interest rate on the loan.

The four programs will be announced in a month, as the invitation to participate to the banks was issued today. As Ms. Hatzipetrou clarified, the "Know your customer" platform will remain active in all the bank's announcements from now on.