Extension of the Treasury FTPYME action line (asset-backed security fund for small and medium enterprises)

The so-called FTPYME action line, implemented in 2008, will also be in force in 2009 and 2010. Through this action line, the Government will be able to furnish guarantees to endorse the fixed interest securities of asset-backed security funds. It will serve to guarantee part of the fixed interest securities of Asset-backed security funds including the loans granted by credit entities to non-financial companies, provided that a specific percentage of such companies are small and medium-sized companies. This encourages credit entities to grant loan to small and medium enterprises as it facilitates fund mobilisation through the asset-backed security system. In 2009 and 2010 the funds mobilised will amount to 3,000 million Euros per year.

Beneficiaries

It will improve the financing conditions of small and medium-sized companies as it will enhance the securitization of the credits granted to them. Applications must be submitted to the financial entities.