The aim of the co-financing is to promote initiatives with added value and a positive social impact for society. Social, cultural, and environmental businesses will be able to apply for financing for new investment, expansion, innovation or internationalisation projects.
The ICF and Triodos Bank have signed a collaboration agreement today to co-finance social, cultural, and environmental business projects that generate added value and a positive social impact for society.
Through this agreement, the ICF and Triodos will co-finance business investment, expansion, innovation and/or internationalisation projects of between 500,000 euros and 20 million euros over terms of up to 15 years. The aim of the co-financing is to facilitate access to loans for businesses in these sectors and, at the same time, to make possible major projects that provide social returns and high added value.
Some of the different business initiatives that the two institutions are set to co-finance include environmental projects that promote renewable energy, the circular economy, organic farming and/or nature conservation. In terms of the social sector, loans will be made available to businesses and institutions that promote employment for persons at risk of social exclusion, special work centres and/or care facilities for senior citizens. In the cultural field, loans will be used to finance educational projects and the area of art and culture.
Josep-Ramón Sanromà, CEO of the ICF, believes this new agreement with Triodos is very positive. "We both share the same mission to promote businesses with a social impact and doing this on a joint basis increases the financing options for the businesses in this sector".
The director of the commercial network of Triodos Bank, Isabel Sánchez, emphasizes that "this agreement will have a greater impact on the work we have been developing at the bank because it will help explore better synergies to finance more businesses and institutions in the sectors where Triodos Bank works, those that contribute added value to society within the social, environmental, and cultural sectors".
Financing the social sector
This agreement bolsters the IFC’s commitment to financing businesses and entrepreneurs in the social sector. In this regard, 2018 saw the public-sector financial institution activate several credit lines to promote this sector.
Recently, the public-sector financial institution has launched a line of loans aimed at financing green and circular economy projects, with the goal being to make it easier to develop environmentally-responsible activities. Furthermore, last June the ICF set up two 250 million euro credit lines to finance social housing building and purchasing and increase the number of social dwellings by 2,800.
These new loans are added to the credit line "ICF social and cooperative economy", through which 60 institutions have received a total of 11 million euros financing in the last five years.