A new €50 million loan facility will be made available to the SME sector. Under the terms of the deal SME’s will be able to access more and lower cost funding for equipment, machinery and vehicles through Finance Ireland, a Dublin based specialist lender. It’s understood the preferential interest rates will be typically 2% lower than current market rates.
Finance Ireland Executive Chairman Billy Kane said the deal was excellent news for SMEs, many of whom face significant challenges accessing funding. “This deal will make more funding available to the SME sector, will do so at a lower cost and will also increase competition amongst lenders in the sector.
SBCI Chief Executive Nick Ashmore said the Corporation was there to help solve problems in the SME lending market and help SMEs to support jobs and grow their business.
“This deal brings a major new player to the market who will help drive competition in Irish SME lending. Greater competition will make it easier and cheaper for Irish SMEs to borrow. Finance Ireland will bring cheaper long term finance for SMEs who plan to invest in equipment, machinery or vehicles.”