The European Investment Bank, through a partnership with Cape Verde's Banco Interatlantico and Banco Comercial do Atlantico, has signed an 8 million-euro financing contract to support small and mid-sized businesses in Cape Verde. The line of credit will be used to finance investment projects in the industry and tourism sectors.........

The funds will be provided through a global loan guaranteed by the European Investment Bank, a European Union institution aimed at the long-term financing of institutions through the Cotonou Agreement Investment Facility. This is the second EIB line of credit created for Cape Verde's financial sector.

The loan contract was signed this week by Cape Verdean banks Banco Interatlantico and Banco Comercial do Atlantico. Other eligible banking intermediaries could join the two partners at a later date, according to a press release from the European Investment Bank.

The funds will be calculated so as to encourage the competitiveness of participating banks. The inclusion of a certain number of intermediaries in the plan will increase the possibility of the European Investment Bank's advantageous terms of financing being passed on to beneficiaries.

The line of credit is intended for supporting Cape Verde's private sector through the financing of investment projects with long-term monetary resources and the development of the country's financial sector.

Source: A Semana