EIB and Hypo Tirol Bank provide €100m for Austrian SMEs

The European Investment Bank (EIB) and Hypo Tirol Bank have unveiled a €100 million financing programme to support investment by Austrian businesses, with a strong focus on SMEs, mid-cap companies and sustainable growth projects.

Under the agreement, the EIB will provide a €50 million loan to Hypo Tirol Bank, which will match the funding with a further €50 million of its own capital. The combined €100 million facility will be made available to small and medium-sized enterprises (SMEs), mid-caps and public-sector organisations to finance projects that drive innovation, competitiveness and regional economic development.

The financing agreement was signed on the sidelines of the Salzburg Summit, a high-level economic conference held in Salzburg.

At least 60% of the EIB funding will be directed towards SMEs, reflecting their importance to Austria’s economy, while 20% will be earmarked for climate-related investments, including energy-efficient buildings and renovation projects. Eligible sectors include tourism, hospitality and regional medium-sized businesses.

The initiative is designed to improve access to long-term finance at a time when businesses continue to face higher borrowing costs and tighter lending conditions. Between 2026 and 2030, the funding will be offered on favourable terms, including lower interest rates and longer repayment periods than are typically available in the market.

Hypo Tirol Bank said a key priority will be supporting investments that strengthen regional value creation and economic development across its core market of Tyrol.

“SMEs and mid-caps are the backbone of Austria’s economy and create jobs, drive innovation and strengthen Europe’s competitiveness. Access to financing is essential to enable businesses to invest and grow.”

“Tyrol’s economic strength is built by the businesses that operate across the region. Today, many companies face the challenge of making essential investments in a demanding economic environment.

“With the EIB as our partner, we can offer businesses attractive long-term financing solutions. This creates the room needed for investments that strengthen competitiveness, safeguard jobs and generate growth, value creation and prosperity throughout the region.”

The latest agreement builds on a long-standing partnership between the EIB and Hypo Tirol Bank, with the two organisations having worked together for more than two decades to improve Austrian SMEs’ and mid-caps’ access to long-term finance.