European Investment Bank (EIB) funding

RCB Bank joins forces with the European Investment Bank (EIB) and the Government of Cyprus to achieve viable growth for the Cyprus economy by supporting small and medium-sized enterprises (SMEs) in Cyprus.

Lower funding cost and favorable terms to Cypriot SMEs and Mid-Caps
  • Local small and Medium-sized Enterprises (SMEs), with less than 250 employees
  • Local medium-Capitalisation Companies (MidCaps), with minimum 250 and less than 3.000 employees
Loan amount:
  • The amount of the EIB allocation may reach up to 100% of the loan provided by the Bank to the Final Beneficiary but may not exceed 12.5 mln Euro in each case. The overall project cost cannot exceed 25mln Euro.
  • EIB funds may also be utilised to support financing needs arising from the operational activities of the Final Beneficiary (i.e. revolving overdraft facilities)

Contact us today for additional information about EIB funding

*the financial advantage of a minimum of 0,50% (plus, if applicable the Jobs for Youth benefit as mentioned below) per annum is passed on to the respective Final Beneficiary.

More details of the scheme

The following cost categories are eligible for allocation of EIB financing:

  1. purchase, renovation or extension of tangible assets, including the development and planning during the construction phase; financing costs during the construction phase for up to 10% of the total project cost; financing of land purchase which  is technically essential for the investments for up to 10% of total project cost; purchase of assets other than real estate (e.g. construction  equipment), with the purpose of renting them to third parties.
  2. investment in intangible assets, i.e.:
    • RDI  expenses (including gross salaries of staff directly associated with the Research, Development, and Innovation components of the firm's activities, and development costs of concessions, patents, licenses, trademarks and similar rights and assets);
    • purchase of process licenses, software  and other rights and assets with an inherent productive capacity;
    • purchase of other intangible assets such as licenses for the use of non-generated public resources, patents, brands, trademarks and similar rights and assets up to 10% of the project costs.
  3. working capital

Finance of working capital needed for the operational activity of the Borrower, e.g. current assets such as stocks (inputs, work-in-progress and finished products) and receivables, is eligible for allocation of EIB financing, including when provided by the Borrower  as  revolving  (e.g.  overdraft)  facilities,  subject  to  such  facilities  being committed for a period of minimum 2 years.

The VAT (incl. recoverable VAT) cost component of working capital Financings is not eligible in principle.


Final Beneficiaries active in any sector are eligible except the following activities (not-exhaustive list): 

  • Activities targeting the production of weapons and ammunition, arms, military or police equipment and any “dual-use” items or infrastructures, and equipment or infrastructure which result in limiting people’s individual rights and freedom (i.e. prisons, detention centres of any form) or in violation of human rights; 
  • Activities targeting the production or facilitating the use of gambling and related equipment; 
  • Activities targeting tobacco manufacturing, processing, or specialist tobacco distribution, and activities facilitating the use of tobacco (e.g. “smoking halls”); 
  • Activities which give rise to environmental impacts that are not largely mitigated and/or compensated; 
  • Activities considered ethically or morally controversial or which are forbidden by national law, e.g. research on human cloning; 
  • The purchase of goodwill; the purchase of intangible assets that could lead to or enforce a strong market position of the Final Beneficiary (i.e. a market share of more than 20% of the relevant market); the purchase of licenses or rights for mineral resource exploitation; 
  • Activities constituting pure real estate development activity; 
  • Activities constituting pure financial transactions (such as the purchase of shares, or any other financial product);
  • Financial holding companies;
  • Activities involving live animals for experimental and scientific purposes insofar as compliance with the “Council of Europe’s Convention for the Protection of Vertebrate Animals used for Experimental and other Scientific Purposes” cannot be guaranteed.

An additional 0.50% (fifty basis points) benefit per annum is provided to beneficiaries eligible for the “Jobs for Youth” Initiative. 

Α Final Beneficiary must meet at least one of the following criteria in order to be eligible to participate in the Initiative:

  • The Final Beneficiary confirms to have hired in the last six (6) months and still employ at least one (1) young person (at least five (5) for Midcap enterprises) (or plans to hire at least one young person (at least five (5) for Midcap enterprises) in the coming six (6) months), calculated from the facility agreement date signed with RCB Bank Ltd, or
  • The Final Beneficiary offers vocational training to young persons, or internships/training programs for young people, or  
  • The Final Beneficiary has an active cooperation agreement with a technical college or school or university to employ young persons (e.g. during summer internships). 

A "young person" is defined as a person of more than 15 and less than 27 years of age at the time when he/she benefits from the relevant event (employment, training or internship).