The Fund of funds manages BGN 1.2 billion under four operational programs: OP „Human Resources Development“, OP „Innovation and Competitiveness“, OP „Environment“ and OP „Regions in Growth“. The Fund's main activity is the structuring and management of financial instruments co-financed by the European Structural and Investment Funds during the 2014-2020 programming period. Financial instruments are an alternative way of grant financing, which is gaining an increasingly important role in the European Union budget. Targeting projects that could potentially begin self-sustaining, they provide investment support through loans, guarantees or equity investments. In this way, business and public institutions are supported for economic development. Financial instruments allow for the return (recycling) of funds that can be reused.
Financial Instruments (FIs) are special-purpose financing schemes co-financed with resources from the European Structural and Investment Funds (ESIF), national financing from the Operational Programmes (OPs) and with additionally raised resources from the private and the public sector. FIs aim to achieve more efficient use of public resources, as compared to grant funding and to extend financial support to target groups of final recipients implementing economically viable projects, thus contributing to overcoming identified market inefficiencies, and to the implementation of EU’s strategic goals and policies.