Saarländische Investitionskreditbank's Partner Program 'Municipal and Municipal-Related Enterprises'

The SIKB Partner Program offers risk assumption to financial institutions, enabling them to finance investment projects of municipal and municipal-related enterprises in Saarland. The program targets economically viable projects, thereby strengthening municipal infrastructure and services.

This program offers risk assumption for various types of bank loans and leasing financing intended for economically viable investment projects of municipal and municipal-related enterprises. It specifically supports new investments and excludes retroactive risk assumptions or financing for companies in difficulty.

The program offers risk assumption as a financial instrument, covering up to 50% of the loan or leasing financing amount. SIKB's risk share ranges between EUR 500,000 and EUR 3 million. The remuneration for SIKB is generally based on the margin of the financing institution.

For investment projects to be eligible, they must be economically viable. Applications must be submitted before the start of the measure. The program excludes retroactive risk assumptions and financing for companies in difficulty. Process simplification is achieved through the use of standardized consortium agreements.

The application procedure is informal and initiated directly by the house bank or leasing company with SIKB, along with the usual bank loan documents. The assessment is lean, and decisions are based on the economic viability of the investment project.

The SIKB Partner Program is based on the guideline "SIKB Partner Program 'Municipal and Municipal-Related Enterprises'", which was last updated in December 2015. This guideline establishes the framework for risk partnerships between SIKB and financial institutions in favor of municipal and municipal-related enterprises.