EIB loans, guarantees in Hungary at EUR 767 mln in 2020

Banking

Loans and guarantees of the European Investment Bank (EIB) group to clients in Hungary added up to EUR 767 million in 2020, the lender said on Tuesday according to a report by state news wire MTI.

Most of the funding went toward accelerating the recovery of Hungarian SMEs and mid-caps from the coronavirus crisis, as well as supporting the recovery of the public healthcare sector from the pandemic.

The credit included EUR 275 mln for SME financing available through the Hungarian Development Bank (MFB) and Magyar Eximbank, EUR 120 mln for an upgrade of the network of the Hungarian Electricity Works (MVM) in southeast Hungary, a EUR 200 mln loan to the government for participation in EU-financed projects that will support improvements in services, telecoms, education, and urban development, as well as providing additional backing to Hungarian SMEs and mid-caps, and a EUR 162.5 mln loan for procurement of pandemic defense materials.

Finance Minister Mihály Varga said the EIB had provided "remarkable support" in health protection and in boosting public and private sector investments "with the help of increased credit lines and flexible lending practices".

The EIB has lent a total of EUR 22.8 billion in Hungary.

ADVERTISEMENT

Varga puts 2021 GDP growth at 7-7.5% Analysis

Varga puts 2021 GDP growth at 7-7.5%

Opposition parties to begin PM candidate primaries Elections

Opposition parties to begin PM candidate primaries

New managing director at the helm of Wolt Hungary Appointments

New managing director at the helm of Wolt Hungary

Budapest bike-sharing scheme boasts record ridership City

Budapest bike-sharing scheme boasts record ridership

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.