EIB and CDP Join Forces on €500M for SME Innovation and Growth Across Europe

The new agreement builds on a long-running institutional partnership between the EIB and CDP that supports Italy’s economic growth and development.

The European Investment Bank and Cassa Depositi e Prestiti have agreed on up to €500 million in financing for small and medium-sized businesses in Italy and other European countries. The funding will support projects in research and development, innovation, the energy transition and sustainability, with the first €150 million tranche already signed.

The agreement covers SMEs with fewer than 250 employees and mid-sized companies with up to 3,000 employees. It also supports CDP's direct financing for smaller companies with annual turnover between €25 million and €50 million. The partners expect the financing to help more companies invest, grow and compete at home and abroad.

The EIB's triple-A credit rating lets it raise funds on international markets on favourable terms, which can help CDP pass on attractive financing conditions to companies. Support can take the form of medium- and long-term loans, purchases or subscriptions of company bonds, and asset-backed securities linked to mini-bonds through Basket Bond transactions.

Financing investment through different channels

Companies can use the financing for projects in Italy or elsewhere in Europe, giving businesses options beyond standard bank loans. CDP can provide direct lending and take part in bond and debt-security issues on capital markets. Basket Bonds add another route, bundling mini-bonds issued by beneficiary companies into securities that can attract additional financing.

Reaching more growing businesses

The agreement is expected to expand CDP's lending both by increasing the volume available for company projects and by reaching more businesses. Its eligibility includes smaller firms as well as mid-caps, giving companies at different stages of growth access to financing. The partners say the support is intended to strengthen investment capacity and competitiveness in domestic and international markets.

A continuing EIB–CDP partnership

The new agreement builds on a long-running institutional partnership between the EIB and CDP that supports Italy's economic growth and development. By combining EIB funding with CDP's financing activities, the operation is designed to direct more resources toward business investment and innovation. The focus on energy transition and sustainability also links company growth with Europe's broader investment priorities.