Third Expansion of EIB’s Trade Finance Facility for Greece Reaches $550 Million

Greece: EIB and HSBC agree EUR 200 million facility for Greek SME’s and midcaps focused on exporting and importing through Trade Finance Facility initiative

(IN BRIEF) The European Investment Bank (EIB) and HSBC Bank have announced a new EUR 200 million trade finance partnership in Athens. The initiative will support trade and export finance services provided by participating Greek banks to local companies, addressing a market gap that continues to restrict international business by Greek companies. This marks the third expansion of the EIB’s Trade Finance Facility (TFF) for Greece, reaching a total of EUR 550 million. Greek companies engaged in international activities will benefit from the new partnership, which will be guaranteed by the EIB and HSBC, alongside other international banks.

(PRESS RELEASE) LUXEMBOURG, 27-Jan-2023 — /EuropaWire/ — The European Investment Bank (EIB), the lending arm of the European Union and HSBC Bank plc have announced a new trade finance partnership that will provide Greek companies with an additional EUR 200 million in financing to support their international trade activities. The partnership will support the trade and export finance services provided by participating Greek banks, including Eurobank, National Bank of Greece, and Piraeus Bank, which will be guaranteed by the EIB and HSBC.

The EIB’s Trade Finance Facility, of which HSBC has been a key partner, is specifically designed to support small and medium-sized enterprises (SMEs) and mid-cap companies in Greece. It provides letters of credit and trade-related guarantees that cover exchange rate, political, and payment risks. The facility, which was first launched in 2013, has so far supported almost EUR 1 billion of international trade activity for Greek enterprises, with a particular focus on exports.

This new partnership marks the third expansion of the EIB’s Trade Finance Facility for Greece, bringing the total amount of financing to EUR 550 million. Greece is the only country in Europe to benefit from such an initiative, which addresses a market gap that continues to restrict international business by Greek companies.

Companies seeking trade financing supported by the EIB’s Trade Finance Facility can contact one of the Greek banking partners directly for more information. This partnership is a significant step forward for Greek companies engaged in international activities, as it will provide them with the financial support they need to grow and expand their businesses.

“Export-focused companies are an integral part of the Greek economy and expanded international trade is crucial for economic growth. Trade finance is essential for most international trade and the EIB is committed to working with international and Greek banking partners to overcome trade-finance barriers,” said Christian Kettel Thomsen, the EIB’s Vice President responsible for lending in Greece. “The new EUR 200 million partnership between HSBC and the EIB builds on the success of previous trade finance cooperation and ensures that leading Greek companies can secure access to global markets. Today’s agreement will both improve access to trade finance and demonstrates the clear commitment of international and local banks to ensuring that Greek companies can expand business opportunities and create jobs.”

“We are delighted to continue our long-standing partnership with the EIB and participate in this important Trade Finance Facility developed for Greece. Access to international supply chains and cross border capital flows play a significant role for the growth prospects of Greek companies and the Greek economy and HSBC is pleased to contribute to supporting this growth,” said Alexandra Konida, Managing Director at HSBC.

HSBC Bank plc

Headquartered in London, HSBC Bank plc is a wholly owned subsidiary of HSBC Holdings plc. It is responsible for HSBC’s European business, apart from UK retail and most UK commercial banking activity. HSBC Bank plc’s ambition is to be the leading international wholesale bank in Europe, complemented by a targeted wealth and personal banking business. The bank facilitates trade within Europe and between the region and other jurisdictions where the HSBC Group has a presence. With assets of £710 billion at 30 June 2022, HSBC Bank plc is one of Europe’s largest banking and financial services organisations.

Media contacts:

Wood Graham
+352 4379 – 70512

Press Office
+352 4379 – 21000

SOURCE: The European Investment Bank


Follow EuropaWire on Google News

Comments are closed.