ENSI - EIF and National Promotional Institutions (NPIs) Securitisation Initiative

Enhanced co-operation to support SME securitisation in Europe

ENSI is a cooperation and risk sharing platform between the European Investment Fund (EIF) and several National Promotional Institutions (NPIs) – and more generally, economic development institutions in the EU – to encourage SME lending via the capital markets.  The ENSI partner institutions are EIF, the EIB, the European Bank for Reconstruction and Development (EBRD), bpifrance (FR), British Business Bank (BBB, UK), Cassa Depositi e Prestiti (CDP, IT), Kreditanstalt für Wiederaufbau (KfW, DE),  Instituição Financeira de Desenvolvimento (IFD, PT), Instituto de Credito Oficial (ICO, ES) and Malta Development Bank Working Group (MT).

The objective of this joint cooperation in SME Securitisation transactions is to stimulate the availability of finance to SMEs in Europe by revitalizing the SME Securitisation market while catalysing resources from the private sector. This reflects the spirit of the European Fund for Strategic Investments (EFSI) aiming to achieve a much wider outreach in support of SMEs.

The working group defines standard procedures and minimum criteria under which the respective National Promotional Institutions (NPIs) are generally willing to participate in securitisation transactions. Furthermore, the working group liaises with the European Commission to discuss deployment options for funds out of the EFSI for the purpose of securitisation transactions.

What does ENSI offer to the selected National Promotional Institutions?

• ENSI will provide funding and capital relief, reduction of portfolio concentration and/or deconsolidation of SME portfolios to financial intermediaries, subject to compliance with the applicable mandates and internal guidelines of the ENSI partner institutions.
• A single-contact access to a pool of joint support measures provided by ENSI partner institutions.
• A harmonised and transparent framework with streamlined procedures.
• Co-ordination and strengthening of promotional activities across European promotional institutions in a flexible, efficient and transparent manner.

What are the requirements to be selected as a financial intermediary under ENSI?

Eligible originators are financial institutions duly authorised to carry out SME lending or leasing activities according to the applicable legislation, established and operating in one or several of the EU Member States. The selected financial institution will be required to build a new portfolio of SME loans, leasing or guarantees commensurate to the involvement of the participating ENSI partner institutions. The financial institution shall also provide information on the securitised portfolio and on any of the agreed additional lending to the participating ENSI partner institutions.