3 Jul 2020
EUR 60 million
Financial institutions and SMEs
|Date of agreement:||25 May 2018|
|Customer:||AS LHV Pank|
|Amount in EUR:||EUR 20 million|
|NACE sector / loan type:||Loan programme|
|Business area:||Financial institutions and SMEs|
The loan programme is earmarked for financing investments of small and medium-sized enterprises (SMEs) in Estonia in conformity with NIB’s eligibility criteria.
AS LHV Pank is part of AS LHV Group established in 1999. LHV is the largest domestically owned banking group and the fourth largest in terms of assets in Estonia. LHV Pank has 150,000 customers. Corporate loans account for 75% of LHV Pank's loan book.
The loan allocations are expected to fulfil the eligibility criteria for a good rating for loan programmes to SMEs. As a segment, SMEs produce approximately three quarters of the total added value of Estonia’s economy, which is more than the EU average.
Projects to be financed through a financial intermediary must fulfil the sustainability requirements defined in NIB’s Sustainability Policy and Guidelines. AS LHV Pank will screen and approve projects eligible for funding under the NIB-financed loan facility. Category A projects are excluded under this facility and the sustainability assessment of all potential category B projects will be carried out by NIB.