The EIB opened a support program for foreign trade of Greece for 400 million euros

© AP Photo / Yorgos KarahalisГреция. Archival photoThe EIB opened a support program for foreign trade of Greece for 400 million euros© AP Photo / Yorgos Karahalis

European investment Bank the EIB on Wednesday activated a second program of financing of external trade of Greece in the amount of 400 million euros. The program will help small and medium-sized Greek companies to increase exports and to provide the imports needed for their development, said at a launch event in Athens.

The first program operated in 2013-2016, its volume was about 400 million euros. Evaluation of the EIB, it was successful for all participants.

In the framework of the second programme, the EIB will provide a letter of guarantee for loans, financial guarantees and other trade and export of financial instruments issued by Greek banks. Small and medium enterprises throughout Greece will be able to get support to trade and export contracts with a maximum term of three years.

The program also guarantees bonds issued by Greek companies.

«Foreign trade can be a key element in strengthening economic activity throughout Greece. The second program will help Greek companies become more competitive and gain new customers in international markets», — said Vice-President of the EIB, Jonathan Taylor, responsible for credit programs EIB in Greece.

«The program will take into account the specifics of Greece. Greece is a bridge between West and East. She’s got huge opportunities, including in the trade,» Taylor said, Recalling that now there are only a limited number of credit trade lines in some banks. In connection with the crisis in recent years, suppliers demanded payment in cash or prepayment.

«The first program was this warranty for 390 million euros. Now will be the guarantee of 400 million euros. A measure of confidence to Greece», — said Vice-President of the Bank.

Reforms and development

Deputy economic development Minister of Greece Alexis Harisis said that the successful completion of the second assessment of reforms to the Eurogroup on 15 June will accelerate the pace of recovery of the Greek economy.

«Greece will come out of aid programmes (with international creditors) in the summer of 2018,» he said.

According to him, the country will be carried out structural reforms, because, according to the government, the cause of the crisis are not only fiscal problems, but the current model of production.

The Deputy Minister also said that next week the government will publish a draft of the innovation that the country needs.

Haritsis, expressed hope that the European Commission will support the financing of other sectors of the Greek economy, including energy and communications. According to him, next week he will discuss the funding of new programs in Brussels.

The EIB held in Athens a forum «Supporting the Greek business» with the participation of Taylor, and Charities, representatives of large companies, national and international banks. At the forum, in particular, it was said that Greece, whose economy is heavily dependent on trade with oil products, can capitalize on its location between Russia, Middle East and North Africa and Europe.

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