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  • 1
    Publication Date: 2021-12-24
    Description: IFIs provide funding for SMEs, but what impact does this actually have on these firms? This working paper assesses the impact of funding by the EIB on the performance of more than 5,000 SMEs in eight countries in Central and Eastern Europe during 2008-2014. Using propensity score matching and difference-in-difference estimation exercises, it indicates that EIB lending has had a positive effect on employment, revenues and profitability. This holds whether or not the economy is in a period of crisis or recovery.
    Keywords: Business & Economics ; Finance ; General ; bic Book Industry Communication::K Economics, finance, business & management::KF Finance & accounting::KFF Finance
    Language: English
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  • 2
    Publication Date: 2023-02-02
    Description: Using a representative sample of European firms, this paper studies whether and to what extent financing constraints affect employers’ decisions to invest in employee training. It combines survey data on investment activities with administrative data on financial statements to develop an index of financing constraints. It estimates that a 10 percent increase in this index reduces investment in training as a share of fixed assets by 2.9 to 4.5 percent and investment in training per employee by 1.8 to 2.5 percent. The paper documents that lower investment in training reduces productivity, and show that firms facing tighter financing constraints cut back the investment in training and tangible assets less than investment in R&D and software and data.
    Keywords: Business & Economics ; Finance ; General ; bic Book Industry Communication::K Economics, finance, business & management::KF Finance & accounting::KFF Finance
    Language: English
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  • 3
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    European Investment Bank | European Investment Bank
    Publication Date: 2023-03-03
    Description: Small and medium-sized firms play a key role in the European economy. This paper uses statistical methods to estimate the effects of EIB financial support on European companies between 2008 and 2015. It shows that the effects of EIB supported lending on job creation and investments were larger for smaller and younger firms, and that longer maturities and more advantageous loan pricing are associated with larger employment and investment effects. The results suggest that benefits of the EIB support are more noticeable on an intensive margin, instead of on an extensive one.
    Keywords: Business & Economics ; Finance ; bic Book Industry Communication::K Economics, finance, business & management::KF Finance & accounting::KFF Finance
    Language: English
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  • 4
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    European Investment Bank | European Investment Bank
    Publication Date: 2023-02-02
    Description: This paper investigates the impact of intermediated funding provided by the EIB on the performance of SMEs in the EU between 2008 and 2014. Using statistical analysis of firm-level data, it finds that EIB lending had a positive effect on employment, firm size, investment and innovation capacity, and also increased firms' leverage. The impact of EIB funding was higher in the countries of Central and Eastern Europe and also in Southern Europe, while somewhat smaller, yet still significant, in West and North Europe.
    Keywords: Business & Economics ; Finance ; General ; bic Book Industry Communication::K Economics, finance, business & management::KF Finance & accounting::KFF Finance
    Language: English
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