TLDR:
Key Points:
- European Investment Bank (EIB) opening new offices in Riga and Tallinn to improve SME access to finance in Baltic states.
- EIB aims to stimulate capital markets in the region, support high-tech start-ups, and attract private investment.
The European Investment Bank (EIB) is expanding its presence in the Baltic countries with new offices in Riga and Tallinn. The move is expected to enhance support for high-tech start-ups in the region by stimulating capital markets and attracting private investment. The EIB, as the lending arm of the EU, offers loans, guarantees, and equity investments to support EU priorities such as climate action, sustainability, and innovation.
The EIB’s existing regional office in Vilnius has had a significant impact in Lithuania, and the bank aims to replicate this success in Latvia and Estonia. By offering investments in SMEs, including private debt, venture capital, and equity funds managed by the European Investment Fund (EIF), the EIB hopes to catalyze capital markets in the Baltic region.
The EIB has a track record of supporting start-ups in the Baltics through initiatives like the Baltic Innovation Fund. Companies that have received support include Aerones in Latvia, Trafi in Lithuania, and CG Trader, a 3D model marketplace in Lithuania. While the EIB cannot fund early-stage start-ups directly, it can connect them with partners who can help them grow.
The EIB’s focus on building a financial ecosystem that aligns with EU priorities, such as the green transition and digitalization, is evident in its investments in deep-tech start-ups in the Baltics. The bank aims to further expand its direct investments in innovative companies in the future, while also promoting gender diversity in the European private equity ecosystem through mentorship programs.
