The Fund of Funds (FoF) has launched a call for the award of a public procurement contract for Capped Loan Guarantees (First Loss Portfolio Guarantee) to be financed by Operational Programme Innovations and Competitiveness 2014—2020 (OPIC) and co-financed by the European Structural and Investment Funds (ESIF).
The purpose of the call is to select financial intermediaries to whom a partial guarantee will be provided for extending new target loans to Bulgarian enterprises in the amount of approximately BGN 700 million.
The Fund of Funds offers up to 80 % coverage of the risk associated with each loan against the lender undertaking to offer financing at preferential interest rates and against lower requirements for the securities to be provided.
The loans will target both small and medium-sized enterprises and large companies in almost all sectors of the economy, with an emphasis on two strategic areas — energy efficiency and innovations. Approximately 60 % of the funds will be available for energy efficiency loans and slightly more than 40 % for innovations.
In order to ensure optimal coverage of the Bulgarian financial sector, the guarantee has been divided into 14 lots.
Under the first thematic area, assistance will be provided to enterprises that wish to implement important projects to improve their energy efficiency as ascertained by an energy audit. Grant assistance for energy audits will be available to the first 161 micro, small and medium-sized enterprises that join the scheme. The loans in this thematic area could reach and exceed a total of BGN 400 million.
The remainder of available funding will be disbursed on projects relating to the development and implementation of innovations by businesses. The projects in question may be in the area of Information and Communication Technology (ICT), bio-, nano- and clean technologies, mechatronics, the creative industries, etc. Available financing may reach approximately BGN 300 million.
Applicants interested in being selected as financial intermediaries may submit applications until 18:00 h on 13 January 2020.
The full tender specification is available at http://www.fmfib.bg/bg/buyer/procedure/50
