EIF IN
SLOVAKIA
Investing in the future of Slovakian SMEs
Investing in the future of Slovakian SMEs
Small and medium-size enterprises are the heart of the Slovak economy.
Representing 99% of all businesses and more than two thirds of the workforce, Slovakia's 487,000 SMEs are responsible for driving innovation as well as spurring on growth, and their daily routine is what ensures the competitiveness of the Slovak economy. But to do that, they often need finance.
At the same time, as the smallest actors in the economy, they are often the hardest hit when the economy encounters turbulence, which is why it is so crucial for them to have financial options in order to maintain and eventually grow their businesses.
At the EIF, our mission is to improve access to finance for small businesses across the EU. In Slovakia, we have been supporting SMEs using a broad range of instruments, including many tailored to the needs of the Slovak market and designed with the Slovak government and local authorities.
As a result, we've been able to support more than 12,000 Slovak businesses, such as a family-run metalworking firm with growth ambitions, making sure they have the financial fuel they need to pursue their ambitions.
Our intention is to continue to extend this type of support to the Slovak market, making access to finance easier as we collectively move towards a greener, digital and more inclusive Europe.
Success stories
Kapso Metalworking
Success stories
Kapso Metalworking
A good idea and professional skills are the key factors in building any business. However, without a strong financial background an idea often fails to materialise. After graduating from vocational school, Ján Kováčik took over the family business from his father. He transformed the garage into a workshop, hired qualified locksmiths and, with growing interest from customers, gradually expanded the company portfolio. Ultimately, the need for larger premises forced him to address two issues: finding suitable premises and access to financing to pay for them.
In order to support his business plan, Ján turned to ČSOB. “Thanks to long-term cooperation, positive experience and the personal approach, ČSOB was the only bank I considered,” he explains. Ján particularly appreciated the availability and the terms and conditions of the loan that he received, which enabled him to buy property inside the former factory site of a bridge building company. As a result, the competitiveness of his company significantly improved, allowing Kapso Metalworking to build a reputation of being a trustworthy company that upholds agreements and deadlines, while maintaining quality of output at the highest level.
Key figures
Over
of EIF financing
Transactions with financial intermediaries
Equity investments since inception
Guarantees support since inception
made available for
Slovakian businesses
Mandates in focus
The EIF continues to deploy capital in Slovakia under a wide range of strategic programmes and mandates. Below are brief summaries of our main initiatives in Slovakia.
InvestEU
The InvestEU programme provides the EU with crucial long-term funding by leveraging substantial private and public funds in support of a sustainable recovery. It is helping to mobilise private investments for the EU's policy priorities, such as the European Green Deal and the digital transition. The InvestEU Programme brings together under one roof the multitude of EU financial instruments previously available to support investment in the EU, making funding for investment projects in Europe simpler, more efficient and more flexible. The programme consists of three components: the InvestEU Fund, the InvestEU Advisory Hub and the InvestEU Portal. The InvestEU Fund is implemented through financial partners that will invest in projects using the EU budget guarantee of €26.2 billion. The entire budget guarantee will back the investment projects of the implementing partners, increase their risk-bearing capacity and thus mobilise at least €372 billion in additional investment.
RCR
The EIB’s Risk Capital Resources (RCR) is the core pillar of the EIF’s equity activity. It has enabled us to pursue our equity strategy in the venture capital and growth segments for more than 25 years. In 2023, RCR accounted for 25% of our equity activity, committing €1.4bn to financial intermediaries.
EFSI
The European Fund for Strategic Investments formed part of the EU's Investment Plan for Europe, launched by the European Commission in 2015. EFSI addressed market gaps in financing - whether in infrastructure, research, energy efficiency or risk finance for SMEs – and mobilised private investment into these areas. Through EFSI the EIF deployed €10.5bn in resources of the European Commission, the EIB and the EIF to improve access to finance for SMEs and small midcaps.
EGF
The European Guarantee Fund was created by the EIB Group with contributions from Slovakia and other Member States to protect companies struggling in the crisis caused by COVID-19. With almost €25bn in guarantees, the EGF allowed the EIB and EIF to swiftly offer companies, mostly SMEs and mid-caps, access to loans, guarantees, asset-backed securities, capital and other financial instruments. The EGF forms part of the package of recovery measures put in place by the EU, with the objective of providing a total of €540bn to support the hardest hit sectors of the European economy.
REPowerEU
The EU launched REPowerEU in 2022 to reduce dependence on fossil-fuel imports and accelerate the green transition. To support the plan, in October 2022, the EIB Group developed a package of measures focussing on renewable energy, energy efficiency, electricity networks and on deepening its engagement in green innovation and breakthrough technologies. Under REPowerEU, the EIF will invest €4.5bn by 2027 through EIF equity products.
CEEFoF
The Central Europe Fund of Funds (CEFoF) is a €97m fund-of-funds initiative created in close co-operation with the governments and national agencies of Austria, Czech Republic, Slovakia, Hungary and Slovenia to boost equity investments into SMEs and small mid-caps across the region, establishing a sound market-based risk financing infrastructure, implementing the best market standards for equity investments in businesses and attracting institutional investors and investment managers to Central Europe.
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