At a press conference held at the Hellenic Development Bank's offices today, Deputy Minister of Economy and Finance Nikos Papathanasis announced the launch of the new Entrepreneurship Fund, TEPIX III. George Zavvos, President of Hellenic Development Bank, and Ismeni Papakirillou, Managing Director, also attended. The signing of the 12 operational agreements between HDB and the partner commercial banks came before this.

Under TEPIX III, with a budget of €500 million, it is expected that loans of €2.2 billion, leveraged through the banking system, will be made available to SMEs on highly favourable terms, widening the circle of SMEs financed and their lending perimeter. It is the first time that the combination of a loan guarantee and an interest rate subsidy has been provided.

Specifically:

• The Guarantee Fund and the Loan Fund are the two sub-funds that make up the TEPIX III Guarantee Fund, which receives funding from the NSRF 2021–2027.
• The Guarantee Fund provides credit risk protection in the form of a guarantee for all eligible enterprises. It offers a guarantee of 70% to 80% on investment loans (from EUR 10 000 to EUR 10 million), working capital loans, and revolving credit loans (from EUR 10 000 to EUR 500 000). It also offers an interest rate subsidy of two percentage points for two years to enterprises in Attica and the South Aegean and a three percentage point subsidy to enterprises in the other regions of the country.  No collateral will be required for loans up to €50,000.
• The Loan Fund offers loans with 40% of the amount interest-free and a 3% interest rate subsidy on the remaining part (60%) for 2 years. In total, loans provided through the Loan Fund of TEPIX III have a reduced interest rate of up to 70% for the first 2 years. The term of the loans for investment loans is 2 to 12 years, with a grace period of up to 24 months. And for working capital from 2 to 5 years, with a grace period of up to 12 months, during which the company does not repay any capital but only interest.

At the press conference following the signing of the operational agreements with the 12 banks, the Deputy Minister of National Economy and Finance, Nikos Papathanasis, underlined: "The launch of the new Entrepreneurship Fund is yet another practical proof of the strategic importance that the government attaches to supporting entrepreneurship, especially small and medium-sized enterprises. The aim is to fill the investment gap created by the economic crisis, improve competitiveness, and create new and better-paid jobs for all our fellow citizens.

In this direction, with commitment to the plan for strengthening entrepreneurship, realism, and growth, through the European resources secured by Kyriakos Mitsotakis in his negotiation, we contribute with financial tools to expanding the perimeter of access to the banking sector for small and medium-sized enterprises with low-interest loans and ensuring the required guarantee. It is indicative that in the context of TEPIX III, the reduction of the financing costs of SMEs can reach up to 70% in the case of the Loan Fund, while through the Guarantee Fund, not only the final interest rate but also the collateral requirements are significantly reduced without any additional cost.

With determination and methodology, we are implementing everything we have committed to so that Greece remains at the forefront of the growth and absorption of European funds in Europe."