The European Investment Fund (EIF) and UniCredit Leasing SIA (UCL) have signed the first loan agreement in the Baltics under Progress Microfinance with funding from the European Union.

The Progress Microfinance EUR 18m loan agreement will allow UCL to provide enhanced access to finance to over 1,000 micro-entrepreneurs, in Estonia, Latvia and Lithuania, many of whom face difficulties in accessing credit from traditional banking sources. Progress Microfinance is funded by the European Commission and managed by the European Investment Fund.

Commissioner for Employment, Social Affairs, Skills and Labour Mobility, Marianne Thyssen said: "The European Commission is fully committed to promoting entrepreneurship and supporting the microfinance sector in the fight against social and financial exclusion. Today's agreement will enable over 1,000 micro-entrepreneurs in Estonia, Latvia and Lithuania to gain access to credit, thereby creating jobs and stimulating the economy from the foundation up".

Commenting on the transaction, EIF Chief Executive, Pier Luigi Gilibert said: “I am delighted to be announcing the first pan-Baltic agreement under Progress Microfinance, signed between EIF and UniCredit Leasing SIA. I am confident that this new support will be instrumental in helping micro-entrepreneurs in Estonia, Latvia and Lithuania to access financing”.

UniCredit Leasing SIA CEO of the Baltic Region, Jevgenijs Belezjaks said: "The time has come to pay greater attention to micro-entrepreneurs as they are part of dynamic and growing economies. I’m glad that together with our clients and partners we can provide the right inputs, support the considerable growth potential of micro-entrepreneurs in Estonia, Latvia and Lithuania and strengthening their role in the economies.

Businesses wishing to apply for loans can directly contact UCL’s branches in Estonia, Latvia and Lithuania.

About the EIF

The European Investment Fund (EIF) is part of the European Investment Bank group. Its central mission is to support Europe's micro, small and medium-sized businesses (SMEs) by helping them to access finance. EIF designs and develops venture and growth capital, guarantees and microfinance instruments which specifically target this market segment. In this role, EIF fosters EU objectives in support of innovation, research and development, entrepreneurship, growth, and employment.

About UniCredit Leasing SIA

UniCredit Leasing SIA is among the leading market players in the Latvia with a long-term experience in the area of leasing, stably ranking in the TOP 5 positions in the past few years and the member of the leading European banking group UniCredit.

In Central and Eastern Europe, UniCredit is absolute leader with a direct presence in 14 countries, over 3 400 branches, 66 000 thousands employees and more than EUR 155 bn of total assets.

The Group operates in Austria, Azerbaijan, Bosnia and Herzegovina, Bulgaria, Croatia, the Czech Republic, Germany, Hungary, Italy, Poland, Romania, Russia, Serbia, Slovakia, Slovenia, Turkey and Ukraine. In the Baltics, UniCredit is present through its Leasing subsidiary” (Data as of June 30th, 2015 )

MSMEs wishing to apply for finance under Progress Microfinance can directly contact UniCredit Leasing SIA on the following website: www.unicreditleasing.lv.

About the European Progress Microfinance Facility

The European Progress Microfinance Facility (Progress Microfinance) provides guarantees and funded instruments to microfinance intermediaries. The initiative is established with EUR 205 million of funding from the European Commission and the European Investment Bank. Progress Microfinance aims to increase access to finance for micro-entrepreneurs, including the self-employed. It has a particular focus on, but is not restricted to, groups with limited access to the conventional credit market. Examples include female entrepreneurs, young entrepreneurs, entrepreneurs belonging to a minority group, entrepreneurs with a disability, sole traders etc. Loans less than EUR 25,000 are made available through selected intermediaries participating in the facility. Progress Microfinance does not provide direct financing to micro-entrepreneurs or individuals.

These three transactions with UniCredit Leasing SIA mark transactions number 80-82 signed under Progress Microfinance since its inception in 2010 and will add two previously uncovered EU-countries. To date, commitments of EUR 194 million under Progress Microfinance have been signed to benefit micro-borrowers. Progress Microfinance agreements have been signed to date with financial intermediaries in 23 EU-Member States including Austria, Belgium, Bulgaria, Croatia, Cyprus, Denmark, Estonia, France, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Poland, Portugal, Romania, Slovenia, Slovakia, Spain, Sweden, The Netherlands and the UK.

For further information about this initiative please visit: www.ec.europa.eu/epmf

Press contact:

EIF: David Yormesor, tel: +352 42 66 88 346, e-mail: d.yormesor@eif.org

UniCredit Leasing SIA: Agnese Buce, phone +371 67 442 977, e-mail: agnese.buce@unicreditleasing.lv

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