“We see our future as a financial lever for infrastructure projects and the ecosystem they create,” said HDB President and CEO Athena Hadjipetrou in a recent speech on “The Hellenic Development Bank as a Guarantee of Achieving ESG Criteria in New Investments”.
As she explained, this need will become more acute in the coming years and added that development banks need to grow and better manage their multiplier nature as well as their remunerative mode of operation. He also noted that these financings have resounding advantages such as risk dispersion, higher returns and the negative correlation with inflation, but at the same time they have difficulties in their implementation such as complexity, the need for high performance, high specialization, significant capitalization, difficulties and to smooth the institutional framework “as he characteristically emphasized.
“We want to accelerate the framework for financing infrastructure projects, especially in terms of obtaining funding from private sources, with sustainability criteria, to contribute to the financing of projects with important social and economic multipliers, to help boost trade, to contribute to technical assistance and monitoring of these projects, and especially in the financing of projects at all levels of local government at national and local level “as he said.
Finally, he added that what is interesting is the operating framework of infrastructure projects, with effective governance without bureaucracy, by attracting complex sources of funding, setting standards of banking capacity, with responsibility at every level and especially with standards of continuous improvement.
It is recalled that since last year, the Hellenic Development Bank (HDB) has started cooperation with the Fund of Civil Engineers (TMEDE), which gave birth to a new targeted financial instrument of immediate efficiency and high utility. Working capital guarantee up to the amount of 200,000 euros is provided and paves the way for further facilitation of the financing of the construction design industry.
Approximately 30,000 engineers and contractors of TMEDE as well as 5,500 technical companies members of TMEDE, can raise new working capital for the development of their business plans and the cooperation of HDB with TMED, brought at the disposal of the companies of the sector, with the method of leverage, loans 8 times more than the initial value of the budget that TMEDE would have.
“This is the role of a National Development Bank. The Hellenic Development Bank – HDB, does not just absorb community and state resources. By leveraging capital, it multiplies their efficiency and scope in the Greek Economy. It is important to emphasize that Hellenic “Development Bank – HDB now has the internal structure and the specialized staff, together with the plan for the development of new products so that there is not a single euro of state or community available resources unused”, as Mrs. Hadjipetrou has emphasized in a relevant article.
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