The FINANCIAL — The European Investment Bank (EIB) signed an agreement with Rabobank and DLL to further support Dutch SMEs and mid-caps. Thanks to this credit facility a total of EUR 400 million will become available for Dutch companies, enabling them to request a loan at discounted rates.
The facility follows a previous agreement signed in June and is meant to encourage Dutch businesses that need investment in order to develop. Benefitting from a lower interest rate thanks to the EIB, it is estimated that at least 300 entrepreneurs will be able to benefit from the facility. The total sum of the loan is evenly split between Rabobank and DLL, who will receive EUR 200 million each, according to EIB.
“As a result of the economic downturn many SME companies have gone through challenging times. It is great to note that in many sectors companies have resumed their growth path. As such this joint arrangement with the EIB comes at the right time and will facilitate Rabobank’s clients to seek new opportunities”, said Jan van Nieuwenhuizen, board member of Rabobank.
The first credit facility between Rabobank and the EIB was agreed in 2009. Since then, through the EIB facilities, the Rabobank has been able to provide loans to more than 1,400 SMEs, who collectively provide 14,000 jobs in the Netherlands. Most loans have gone to the agricultural and food sectors, however all sectors have been targeted.
DLL, global provider of asset- based financial solutions, operates in more than 35 countries worldwide and collaborates with EIB in 9 European countries. The most recent facility with DLL in the Netherlands amounted to EUR 300 million which, up to now, resulted in 385 signed contracts for different projects, testifying the true value of the operation. Since DLL committed to doubling the available amount through its own funds, the total impact on the Dutch economy of the last facility was at least EUR 600 million in total.
Milko Wijckmans, General Manager DLL the Netherlands adds: “Providing integrated financial solutions that strengthen the entrepreneurial climate and benefit business is one of our core principles. Due to EIB’s support we’re able to enable Dutch entrepreneurs to further develop their business and positively contribute to our national economy which is a significant valuable contributor and highly appreciated.”
“This facility is meant to be an encouragement for Dutch entrepreneurs to invest”, Vice-President Pim van Ballekom said: “This kind of operation shows how EIB investment can very tangibly and effectively support the local economy. The money is available, now it’s up to Dutch businesses to use it to their advantage.”