Last Updated on Wednesday, 20 November, 2024 at 1:29 pm by Andre Camilleri
Bank of Valletta, in collaboration with the European Investment Fund (EIF), has just launched two new attractive lending products aimed at local SMEs. The schemes are open to micro, small and medium-sized enterprises based in Malta and benefit from risk-sharing mechanisms guaranteed by the EIF. The new financing schemes BOV SME Grow and BOV SME Grow Green follow the successful take-up of similar schemes offered by BOV and EIF in the past, such as the JEREMIE and JAIME Financing Packages.
The innovative aspect of one of the loans, the BOV SME Grow Green, is to offer a more advantageous interest rate aimed at incentivising commercial clients to seamlessly transition to ‘green’. Businesses willing to invest in renewable energy or energy-efficient solutions such as PV Panels, heating and cooling systems, charging stations, insulation, electric vehicles, and other means of low-carbon emission measures, can all benefit from the BOV SME Grow Green lending product.
Both products offer a loan of up to €750,000 payable over a maximum period of 10 years. The BOV SME Grow is offered at a total variable interest rate of 3.8% and the BOV SME Grow Green at a total variable interest rate of 2.8%. Additional benefits include reduced collateral requirements and upfront contributions.
Speaking about the two new financing products announced by BOV and EIF, Bank of Valletta’s Chief Commercial Officer, Mr Simon Grech said: “By working closely with the European Investment Fund, we are well-placed to offer our business customers two very attractive financing schemes with low collateral requirements and low upfront contribution. The packages are available to a major part of Maltese economic sectors so that most SMEs in Malta can continue to grow and develop. Thanks to the Green alternative of this product, we continue to incentivise sustainable investment by incorporating a better price mechanism for investment costs that contribute towards a reduction in CO2 emissions.”
The BOV SME Grow and the BOV SME Grow Green are funded by the European Union through the European Regional Development Fund with the financial backing of the Republic of Malta under the InvestEU Member State Compartment for Malta. All loans are subject to normal bank lending criteria and final approval from the Bank. Business customers willing to benefit from the BOV SME Grow or the BOV SME Grow Green are invited to get in touch with the BOV Business Development & Customer Value Unit by calling 2275 1122 or by emailing businessdevelopment@bov.com. Further information can be obtained through the Bank’s website at https://www.bov.com/bov-sme-grow and https://www.bov.com/bov-sme-grow-green.
