In the region of Thessaly, the Hellenic Development Bank has financed more than 3,600 loans worth more than 525 million euros.
In the new period of restructuring of the banking system and the Greek economy Development Bank of Greece (HDB) undertakes a dual mission.
- significantly expanding the range of small and medium-sized enterprises (SMEs) that have access to affordable financing and
- transformation of the productive base of the economy with the necessary scaling up, extroversion and competitiveness of SMEs.
Achieving this dual undertaking is the real goal of the decade, said HDB Chairman Mr. George Zavvos“Development challenges for business in Thessaly” organized by the management of Eurobank in Larissa. while participating in a special event on “Local Priorities and National Policies”.
As Mr. Zavvos explained, the Hellenic Development Bank is the only development authority in the country that has modern and targeted financial instruments that contribute to the implementation of the ambitious government plan to change the productive model of our economy.
• In the region of Thessaly in particular, the Hellenic Development Bank has financed more than 3,600 loans worth more than 525 million euros.
The ever-increasing interest in the Small Agricultural Enterprise Credit Fund is noteworthy, with Thessaly in first place, with more than 500 loans amounting to 12 million euros.
Mr. Zavvos referred to the new multidimensional financing program TEPIX III.
- Through guarantees and co-financing, it covers both investment and working capital needs of the business.
- TEPIX III offers significant advantages for small and medium-sized entrepreneurs, such as a reduction in financing costs, which can reach up to 70%, through the Credit Fund, and – at no additional cost, a significant reduction in collateral requirements (zero guarantee commission). Through the guarantee fund.
- In addition, businesses with low credit ratings, which until now had limited or no access to the banking system, can be loaned with a guaranteed interest rate of up to 80%.
It is aimed at all sectors of activity, except the primary sector, and therefore there is a very positive response from small and medium enterprises.
Mr. Zavvos then referred to actions to support the innovation of small and medium-sized enterprises.
- “Supporting innovation is key to competitiveness, extroversion and economic growth.
- The Hellenic Development Bank is supporting innovative businesses in search of new markets through a targeted Innovation Guarantee Fund of €140 million, as well as through a new fund that will become available to the market later in the year.
- The Hellenic Development Bank does not simply fill the investment gap in the market. It facilitates the creation of new markets and supports bold start-ups creating new technologies.”
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The president of the Development Bank of Greece was asked about HDB’s cooperation with the country’s commercial banks. - “HDB’s collaboration with commercial banks is an important factor in the efficient allocation of existing resources, acting as a complement to them.
- A “Banks-SMEs Tango” is necessary for the success of an effective financing program and the expansion of the range of SMEs with access to affordable financing. In other words, effective and dynamic efforts of both sides to fill this funding gap.
Mr Zavvos called on commercial bank management and executives to systematically roll out co-financed projects with HDB nationally. In turn, small and medium-sized entrepreneurs should make efforts to prepare and present credible business plans.