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InvestEU Sustainability Capped Guarantee product

Financing for sustainable enterprises and green investments which contribute to the green and sustainable transformation of the European economy.

The European Union has set targets to progressively reduce (GHG) emissions to become a carbon-neutral and carbon resilient society by 2050. Investment into green and sustainable transformation of the European economy are of crucial importance. 

The InvestEU sustainability guarantee is a climate-focused and intermediated debt financing solution, dedicated to supporting the green and sustainable transition of small enterprises and citizens across the EU. It shall be made available to small businesses, private individuals as well as housing associations - thereby granting these access to preferential conditions when seeking finance for their sustainable businesses, business models or investments.

The product is funded by the EU's flagship initiative InvestEU, and has also been further supported by InvestEU Member State Compartment contributions from Greece, Bulgaria, Spain and Portugal.

Mandator
MS-Compartment

The following summary is only indicative. For full information please refer to the Call documents below.

 

Application deadline

30/06/2027open

This climate-focused intermediated debt financing shall be made available to small businesses, private individuals as well as housing associations. Thematic focus: climate change mitigation and adaptation, transition to circular economy, water resources and pollution prevention and control, protection and restoration of biodiversity and ecosystems, sustainability and green transformation,sustainable forests and agricultural practices, social accessibility investments, sustainable enterprise.

Objective

The Sustainability Guarantee promotes investments that drive the green and sustainable transformation of the European economy. It facilitates access to debt financing for targeted recipients (SMEs, small mid caps, individuals, or housing associations) and also supports initiatives that improve accessibility.

Guarantee terms

Benefits for recipients

Reduction of cost of financing
Reduction of collateral requirements
Reduction in lease down-payment
Increase in financing volumes
Support to excluded segments
Financing at longer maturities
Bespoke financing arrangements
Subordinated debt finance for solvency support

Type of instruments

Direct guarantee
Counter-guarantee

Max (counter-)guarantee rate

< 80% i
Please see call documentation for full details.

Max cap rate

< 25%

Guarantee fee

0.2% p.a.

Consistency with state aid

Yes

Lending features

Type of financial intermediary

Credit or financial institutions (commercial banks or NPBIs)
Alternative lenders
Leasing companies
(Counter-) guarantee schemes
(Counter-) guarantee institutions or other entities

Target final recipients

SMEs
Small mid-caps
Natural persons
Housing associations

Maximum debt principal amount

€7.5m i

Debt financing maturity range

12 months+

Growth stage

All stages

How to apply

Check out the call documents listed below and submit your application by:

30 June 2027

The EIF may determine that the deadline will end on an earlier date depending, inter alia, on the availability of the budgetary resources. Any change in the deadline will be announced officially on this web page.

Advisory Knowledge Centre

For more useful information on the sustainability product, application process, and more, have a look at our Advisory Knowledge Centre.