European Investment Bank provides credit facility backing to Dutch SMEs

The European Investment Bank (EIB) Monday officially confirmed it signed an agreement with Rabobank and DLL to further support Dutch small and medium enterprises (SMEs).

A total of 400 million euros (449.59 million U.S. dollars), evenly split between Rabobank and DLL, will become available for Dutch companies, enabling them to request a loan at discounted rates, the EIB said in a statement.

The interest-rate discount is available to businesses with fewer than 3,000 employees. It is estimated that at least 300 entrepreneurs will be able to benefit from the facility.

"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.

Milko Wijckmans, general manager at DLL Netherlands, adds: "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," EIB 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."

Through the EIB facilities, Rabobank has been able to provide loans to more than 1,400 SMEs, who collectively provide 14,000 jobs in the Netherlands since 2009. Most loans have gone to the agricultural and food sectors, though all sectors have been targeted, the EIB said.

According to the EIB, the total impact on the Dutch economy of recent facility was at least 600 million euros in total. Endit