The Exporters' Club and Madrid Investment Attraction highlight the importance of the European Investment Bank for Spanish companies
The Exporters and Investors Club and Madrid Investment Attraction, in a new session of the Meetings with Multilateral Organisations Programme, have presented the European Investment Bank (EIB) as a valuable ally for Spanish companies that are developing projects in Asia for which they require financing. The EIB is the largest multilateral lender and borrower in the world.
The conference, which was held online, was attended by Fernando Torija, director of the European Investment Bank's office in Madrid, who said that the bank has provided financial support to more than 70,000 SMEs in the last six years: "Our bank, which has a triple A rating, focuses on supporting new projects related to innovation, the environment, infrastructure and those developed by small and medium-sized enterprises working in the European Union, where 90% of our activity is focused. During 2020, the group's financing to Spanish companies amounted to 8,454 million euros, making the country one of the bank's main beneficiaries," he said.
Torija highlighted the European Investment Bank's ability to offer long-term loans and financing for intangibles: "The approval process for a first loan from the EIB is long and complicated, as it requires a thorough study of the project by our analysts, who will evaluate financial, economic, social and environmental aspects of the company applying for the loan and the project itself," he underlined. "However, once granted, and in contrast to traditional banking, our financing options offer a high degree of flexibility in terms of repayment and grace periods; competitive interest rates, as we are a non-profit organisation; low fees; and the possibility of diversification in funding sources and visibility for the projects financed," he said.
In addition, the EIB's portfolio of services is complemented by mid-cap financing programmes that allow accelerated loan approvals for companies with less than 3,000 employees and an innovative profile.
The meeting organised by the Exporters and Investors Club and Madrid Investment Attraction was also attended by Edvardas Bumsteinas, Head of the Asia-Pacific Division in the Public Sector Operations Department, who explained the work that the European Investment Bank carries out with companies that have projects on the Asian continent: "The EIB has financed operations in Asia worth 9.5 billion in recent years, with countries such as China, with EUR 3,205 million, and India, with EUR 3,147 million, being the biggest beneficiaries".
Bumsteinas pointed out that the biggest opportunities in Asia come from sectors such as transport and infrastructure, energy and, above all, agriculture and the environment: "Since 2008, the European Investment Bank has invested a total of EUR 5.7 billion in financing climate action projects, which means that most of the loans granted are for the development of climate action projects as opposed to other sectors," he said.
The head of the Asia-Pacific division highlighted among the projects financed by the EIB in recent years the EUR 44.2 million financing provided for the construction of the Hanoi metro, the EUR 257 million for the improvement of the water supply and sewerage network in Bangladesh, and the EUR 270 million in support for the construction of renewable energy infrastructure in Nepal.
