The Fund aims to improve access to finance for all small and medium-sized enterprises (SMEs) and to support and develop their business activity, so as to cover a wide range of their financing needs.  Moreover, the programme aims to enhance the productivity of the enterprises, by improving their processes for products & services produced and, by extension, to improve their competitiveness and their position in international markets.

 

 

 

Budget: €200,000,000

Including the 60% participation of credit institutions in each grant, the total loan portfolio of amounts to €450,000,000.

The Action is co-funded by the European Regional Development Fund (ERDF) and national funds and is implemented by the Hellenic Development Bank (HDB).

 

Beneficiaries 

The Fund concerns eligible small and medium-sized enterprises that are established and operate in Greece.

 

Loan financing scheme 

The Fund provides 40% of the capital interest rate-free for each loan, while the remaining 60% is charged by the credit institution bearing relevant interest rates, which will be reduced by at least 25 bps (basis points), in accordance with its lending policy. Additionally, the Fund may offer a partial interest subsidy (3%) on the interest rate imposed by the credit institution on its capital for the first 2 years of the loan (starting from the 1st disbursement). Please refer to the relevant table with the maximum interest rates offered per bank.

 

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Participation requirements 

1. The financed enterprise shall be fully exempt of interest on the part of the loan that is co-funded by the fund (i.e. 40% of each loan), since this amount is provided by the Fund interest free.
2. The Fund may subsidise a part of the interest rate imposed by the credit institution on the capital (that is, 60% of each loan). This subsidy applies for the first 2 years of the loan (from the 1st disbursement) and reduces the credit institution’s interest rate by 3%, which respectively reduces the final interest rate of the loan.
3. Each credit institution participating in the Fund is required to reduce the interest rate of each loan by at least 25 basis points (bps) per year compared to the interest rates that would be applied to corresponding financing without the participation of the Fund.
4. The maximum amount of real securities that a credit institution may request for each loan cannot exceed 100% of the loan capital.

 

 Loan Amount

The amount of the loan can vary as follows:

Sub-programme 1 for Investment Loans:

• Action 1.1: De minimis loans (Reg (EU) 2831/2023) from €20,000 to €1,500,000
• Action 1.2: Loans via GBER (Art. 21) from €20,000 to €8,000,000

 

Sub-program 2 for special purpose working capital loans

• Action 2.1: De minimis loans (Reg (EU) 2831/2023) from €10,000 to €500,000

 

Loan Duration 

• Sub-programme 1 for Investment Loans: From 5 to 12 years, including a grace period of up to 24 months.
• Sub-program 2 for Special Purpose Working Capital Loans: From 2 to 5 years  including a grace period of up to 12 months.

 

The loan is disbursed either in a lump sum or in instalments, within a period of up to four (4) months from the signing of the Final Recipient Loan Agreement and in any case before the end of the Eligibility Period, namely 31/12/2029.

More specifically, in cases of partial disbursements, the total disbursement of the loan should be completed within a maximum duration of twenty-four (24) months from the signing of the Loan Agreement; in any case with a final disbursement date on 31/12/2029.

 

Required Securities 

The credit institution may request personal and real securities, in accordance with its credit policy. The maximum amount of real securities that can be requested cannot exceed 100% of the loan capital. Please refer to the relevant table with the maximum security rates per bank.

 

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Application submission procedure

In order to join the Fund, the prospective enterprise submits an application:

1. On the KYC (Know Your Customer) platform of the Hellenic Development Bank via the website https://kyc.hdb.gr/. Each submitted application undergoes a series of eligibility criteria assessments and, upon relevant approval, is forwarded to the credit institutions selected by the enterprise for the submission of a non-binding offer. If the application is initially accepted, meaning the interested party receives a non-binding offer, a unique code is issued.
2. To the Integrated State Aid Management Information System, via the website https://app.opske.gr/where the unique code is entered from the HDB KYC platform for the credit institution.
3. The credit institution from which it wishes to receive funding and has already received a non-binding offer through the KYC for the assessment of the application and required supporting documents.

In addition, the enterprise completed a self-assessment questionnaire on 3 key criteria: Environmental, Social and Corporate Governance (ESG) on the HDB ESG Tracker platform, via the website https://esgtracker.hdb.gr/. The completion of this questionnaire is necessary in order to be able to submit the funding application to the Bank. It is clarified that the self-assessment results do not constitute a criterion for the enterprise’s eligibility in the programme.

 

Collaborating Banks

• AEGEAN BALTIC BANK
• ALPHA BANK
• ATTICA BANK
• EUROBANK
• OPTIMA BANK
• NATIONAL BANK OF GREECE
• PANCRETA BANK
• COOPERATIVE BANK OF EPIRUS
• COOPERATIVE BANK OF THESSALY
• COOPERATIVE BANK OF KARDITSA
• COOPERATIVE BANK OF CHANIA
• PIRAEUS BANK

 

Action Communication Material

Action infographic in pdf format

 

For more details press here