ANNOUNCEMENT 12 Dec 2016

In December 2016, the European Investment Bank (EIB) and the Instituto de Crédito Oficial (ICO) signed a credit line agreement to support Spanish small and medium-sized enterprises' (SMEs) and mid-cap companies' exporting activities.

NUMBER OF INTERVENTIONS

2

  • 2 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

The European Investment Bank, Financed Projects, ICO INTERNATIONALISATION LOAN FOR SMES: https://www.eib.org/en/projects/loans/all/20150508
The European Investment Bank, Project summary, ICO INTERNATIONALISATION LOAN FOR SMES: https://www.eib.org/en/projects/pipelines/all/20150508
The European Investment Bank, press release of 12 December 2016, Spain: EIB and ICO provide EUR 1 billion to support the internationalisation of SMEs: https://www.eib.org/en/press/all/2016-326-el-bei-y-el-ico-apoyan-con-1-000-millones-de-euros-la-financiacion-y-la-internacionalizacion-de-las-pymes-espanolas
Instituto de Crédito Oficial, press release of 12 December, El BEI y el ICO apoyan con 1.000 millones de euros la financiación y la internacionalización de las pymes españolas: https://www.ico.es/web/ico/notas-de-prensa/-/blogs/el-bei-y-el-ico-apoyan-con-1-000-millones-de-euros-la-financiacion-y-la-internac?_33_redirect=https%3A%2F%2Fwww.ico.es%2Fweb%2Fico%2Fnotas-de-prensa%3Fp_p_id%3D33%26p_p_lifecycle%3D0%26p_p_state%3Dnormal%26p_p_mode%3Dview%26p_p_col_id%3Dcolumn-2%26p_p_col_pos%3D1%26p_p_col_count%3D2%26_33_groupId%3D19%26_33_keywords%3D%26_33_aniosFilter%3D2016%26_33_struts_action%3D%252Fblogs%252Fsearch%26_33_redirect%3Dhttps%253A%252F%252Fwww.ico.es%252Fweb%252Fico%252Fnotas-de-prensa%253Fp_p_id%253D33%2526p_p_lifecycle%253D0%2526p_p_state%253Dnormal%2526p_p_mode%253Dview%2526p_p_col_id%253Dcolumn-2%2526p_p_col_pos%253D1%2526p_p_col_count%253D2%26_33_mesFilter%3D%26_33_formDate%3D1564577019176
Instituto de Crédito Oficial: https://www.ico.es/en/web/ico_en/mission-and-functions

Inception date: 12 Dec 2016 | Removal date: open ended

Export subsidy

On 12 December 2016, the European Investment Bank (EIB) and the Instituto de Crédito Oficial (ICO) signed a credit line agreement. Under the agreement, the EIB will contribute with EUR 500 million (approx. USD 532 million) in financing to support export activities carried out by Spanish SMEs and mid-caps. Additionally, the ICO will contribute with EUR 500 million, see related intervention.  

According to the EIB: "With these two loans the EIB and ICO are supporting both small businesses and the export sector, two of the main engines of job creation inasmuch as, according to European Commission estimates, every extra billion euros worth of exports creates 14 000 new jobs."

Instituto de Crédito Oficial is a state-owned bank whose function is to promote "economic activities contributing to growth, the development of the country and improving the distribution of the national wealth." Among other activities, the bank manages Spain's official funding instrument to promote Spanish exports and development aid. 

A state act in the GTA database is assessed solely in terms of the extent to which its implementation affects foreign commercial interests. On this metric, the investment support granted here is discriminatory. 

AFFECTED SECTORS

 
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AFFECTED PRODUCTS

 
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Inception date: 12 Dec 2016 | Removal date: open ended

Export subsidy

On 12 December 2016, the European Investment Bank (EIB) and the Instituto de Crédito Oficial (ICO) signed a credit line agreement. Under the agreement, the ICO will contribute with EUR 500 million (approx. USD 532 million) in financing to support export activities carried out by Spanish SMEs and mid-caps. The EIB will contribute with an additional EUR 500 million, see related intervention.  

According to the EIB: "This type of financing operation also enables ICO to position itself as the go-to lender in Spain for supporting and promoting the export sector in line with Spain’s changing economy. Last year, ICO’s “Exporters” line financed the exports of more than 43 000 firms to the tune of nearly EUR 3 billion."

Instituto de Crédito Oficial is a state-owned bank whose function is to promote "economic activities contributing to growth, the development of the country and improving the distribution of the national wealth." Among other activities, the bank manages Spain's official funding instrument to promote Spanish exports and development aid. 

A state act in the GTA database is assessed solely in terms of the extent to which its implementation affects foreign commercial interests. On this metric, the investment support granted here is discriminatory. 

 
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