For most of the instruments deployed with the support of national or EU funds, in order to become available there is a need first for national financial intermediaries, like banks, other financial institutions, holding funds etc., depending on the type of the instrument (e.g. loan, guarantee, equity) to participate in the corresponding programme. Therefore, when there is a policy decision for such an instrument to be developed, what follows is a call by the Competent Authority, at national or EU level, addressed to financial institutions which are interested to participate, usually by adding own resources and sharing risk. As already described, the ability to leverage additional private funds is one of the advantages of financial instruments.

Presented below are financial instruments which have been adopted and are available by financial intermediaries operating in Cyprus.

It is noted that the financial instruments presented in this Portal relate to mechanisms directly or indirectly supported by national or EU funds. Other funding tools provided by the banks or other financial institutions, supported only by own or other resources, are not included herewith.  

With the aim to enhance the competitiveness of the Cypriot enterprises, as well as to support sustainable growth and youth employment, a number of Cypriot banks have entered into loan agreements with EIB, supported by the Government of the Republic of Cyprus with state guarantees, with the view to adopt and make available to the Cypriot SMEs this EIB financing scheme.

Through the scheme, the banks provide loans with favourable terms to eligible Cypriot SMEs and Mid-Caps. An even more favourable interest rate is provided to companies that meet the criteria for the “Jobs for Youth” Programme of EIB.

• Bank of Cyprus: from €150.000 up to €5 mln
• USB: up to €12.5 mln
• National Bank of Greece (Cyprus): up to €12.5 mln
• Hellenic Bank: up to €12.5 mln

For further information on thematic concentration that may apply (i.e. emphasis on certain sectors) you may directly contact the banks participating in the Scheme.

• Other Services
• Processing
• Research, Technological Development and Innovation
• Small-Medium Enterprises and Competitiveness
• Tourism
• Trade and Commerce

• Large Enterprises
• Small and Medium Enterprises (SMEs)

Companies employing up to 3.000 employees (full-time equivalent) are eligible under the Scheme, including Small and Medium Enterprises – SMEs (up to 250 employees) and Medium-capitalisation Companies – Mid Caps (more than 250 and up to 3.000 employees)

The benefiting companies may be either independent or partner enterprises, or affiliated undertakings (linked enterprises), operating in Cyprus and / or within the EU.

Companies engaged in any of the following activities are excluded from the Scheme:

• Activities targeting the production of weapons and ammunition, arms, military or police equipment or infrastructures, and equipment or infrastructure which result in limiting people’s individual rights and freedom (i.e. prisons, detention centers of any form) or in violation of human rights;
• Activities targeting the production or facilitating the use of gambling and related equipment;
• Activities targeting tobacco manufacturing, processing, or specialist tobacco distribution, and activities facilitating the use of tobacco (e.g. “smoking halls”);
• Activities involving live animals for experimental and scientific purposes insofar as compliance with the “Council of Europe’s Convention for the Protection of Vertebrate Animals used for Experimental and other Scientific Purposes” cannot be guaranteed;
• Activities which give rise to environmental impacts that are not largely mitigated and/or compensated;
• Activities considered ethically or morally controversial or which are forbidden by national law, e.g. research on human cloning;
• Activities constituting pure real estate development activity;
• The purchase of goodwill; the purchase of intangible assets that could lead to or enforce a strong market position of the Final Beneficiary (i.e. a market share of more than 20% of the relevant market); the purchase of licenses or rights for mineral resource exploitation;
• Activities constituting pure financial transactions (such as the purchase of shares, or any other financial product).
• Financial holding companies and leasing companies are also excluded.

Further exceptions may apply. Eligibility criteria may also vary as regards the requirement for the project / investment funded to be realized in Cyprus or wider within EU. Please contact banks participating in the Scheme for further information.

In order to additionally benefit from the “Job for Youth” programme, a company needs to meet at least one of the following criteria:

Please see the greek version for the criteria

Note: A “young person” is defined as a person of more than 15 and less than 25 years of age at the time when he/she benefits from the relevant event (employment, training or internship). Some banks have extended the upper limit to 27 years.

Interested companies may contact customer service officers within the banks’ local centers / braches or directly communicate with the contact points below. More information is also available in the banks’ websites below.

Bank of Cyprus
Website: https://www.bankofcyprus.com.cy/mme_gr/Medium_business_gr/europaiki_xrimatodotisi/ETEp_gr
Maria Dafnidou-Georgiadou / Louiza Psara
tel.: +357 22 122056 / 22 122103
email: maria.dafnidou@bankofcyprus.com  / louiza.psara@bankofcyprus.com

USB Bank
Website: http://www.usbbank.com.cy/default.aspx?tabid=81&it=1&mid=0&itemid=530&langid=1
Avraam Kyriacou / Eleni Anastasiou
tel.: +357 22 883522 / 22 883560
email: kyriacou.a@usbbank.com.cy / anastasiou.e@usbbank.com.cy

National Bank of Greece (Cyprus)
Website: https://www.nbg.com.cy/wp-content/uploads/EIB.pdf  (pdf)
Marilena Sevastidou
Tel.: +357 22 840 114
Εmail: msevastidou@nbg.com.cy  

Hellenic Bank

Website: https://www.hellenicbank.com/portalserver/hb-en-portal/en/business-banking/borrow/help-me-with/funding-of-cypriot-companies
Yianna Kyprianou
Tel.: +357 22 501289
Εmail: Y.Kyprianou@hellenicbank.com

http://www.eib.org/products/lending/intermediated/index.htm