Luxembourg, 23/10/2006 (Agence Europe) - Greece's Ministry of Finance and the Economy, represented by its Secretary of State, Christos Folias, and the European Investment Fund (EIF) represented by its Director General, Francis Carpenter, signed a memorandum of understanding on 20 October defining the general framework and the arrangements for implementation of the JEREMIE initiative (Joint European Resources for Micro-to-Medium Enterprises) in Greece. The aim is to improve SMEs' access to financing during the 2007-2013 programming period of EU Structural Funds.
By signing this MOU, which concludes one of the first operations under JEREMIE within the EU, “the Hellenic Republic takes up a pioneering role, showing its readiness to promote and adopt a sophisticated financial engineering approach”, reads a press release from the European Investment Bank (EIB). By signing the MOU in the context of the EIB Annual Forum (EUROPE 9289), Greece confirms its intention to appoint EIF as the manager and administrator of the JEREMIE Holding Fund in Greece, supported by the country's ERDF allocation within the convergence and competitiveness objectives.
Generally speaking, in the context of its cooperation with the Greek authorities, EIF will be responsible for the following tasks: - during a preparatory phase (2006-2007), identification of most suitable instruments to allow implementation of the mandate (guarantees, venture capital and microfinance), and assistance in establishing the structures and instruments suitable for the diffusion of the JEREMIE funds in Greece during the Mandate; - during the implementation phase (2007-2015), as holding manager, for implementation and management of SME and micro-finance actions covered by the mandate, as identified during the preparatory phase and outlined in the Hellenic National Strategy Reference for 2007-2013. Disbursements to SMEs will be possible until the end of 2015.
EIF will work to mobilise parallel lending from EIB, to support JEREMIE in Greece and ensure close cooperation with the local financial sector.
We recall that JEREMIE is a joint initiative of the European Commission (DG Regio) and EIF (member of the EIB group) which aims to improve access to finance for small and medium-sized enterprises (SMEs) in Europe. The European Investment Fund's mandate is to promote the creation, growth and development of SMEs, in accordance with the strategy of the EU. EIF provides portfolio guarantees and acquires venture capital fund participations benefiting SMEs. EIF has also been implementing the JEREMIE initiative since late 2005 to facilitate SME use of EU regional development funds. EIF acts independently and commercially, seeking an appropriate return for its shareholders. (ol)