On 11 July, the European Commission adopted two new financial instruments for European Structural and Investment Funds (ESIF) investments to facilitate access to finance for start-ups and urban development project promoters, specifically:

• A co-investment instrument, aimed at providing funding for start-ups and SMEs to develop their business models and attract additional investment through a collective investment vehicle. By combining public and private resources, the total investment can amount to up to €15 million per SME.
• Urban development funds, aimed at financing sustainable urban projects (e.g. public transport, energy efficiency, urban regeneration) which must form part of an integrated sustainable urban development strategy. The total investment can amount to up to €20 million per project, combining public and private resources. Support will take the form of a loan fund managed by a financial intermediary, using ESIF resources and a contribution of at least 30% from private capital.

These initiatives aim to facilitate SME growth by integrating public and private resources, drawing inspiration from the guidelines of the Juncker Plan.

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