The Growth & Sustainability Loan Scheme (GSLS) features a national counter-guarantee facility launched in 2022 by the Government of Ireland targeting SMEs, Small Mid-Caps, farmers, and fishers with the objective to bridge the gap in longer-term, affordable finance that many enterprises face in Ireland. The European Investment Fund has been entrusted as the body implementing the financial instrument, which provides a counter-guarantee to the Strategic Banking Corporation of Ireland (SBCI) – the national promotional bank of Ireland acting as financial intermediary.

This factsheet aims to present key features of guarantee financial instruments, together with industry best practice, to support managing authorities and other fi-compass stakeholders seeking to implement guarantee financial instruments in the future. In addition, relevant fi-compass resources will be highlighted for users to access to find further information on the topics featured in this factsheet.

This case study highlights Latvia’s Energy Efficiency Programme for Multi-apartment Buildings (EEPMB) which used 2014-2020 ERDF resources and combined two financial instruments (a guarantee and a loan) with grants to support energy renovations in residential multi-apartment buildings. Managed by Altum, Latvia's state development finance institution, the programme supported renovation of 624 projects.

The Micro-Loan Fund for Agricultural Entrepreneurship features a risk-sharing micro-loan facility under a Fund of Funds (FoF) structure, managed by the Hellenic Development Bank (HDB). Supported by Greece’s Rural Development Programme (RDP) 2014-2022 with a contribution of EUR 61.5 million from the European Agricultural Fund for Rural Development (EAFRD), it is the first micro-finance instrument for the primary sector in the country. The instrument co-finances new loan portfolios built-up by financial intermediaries at a risk-sharing rate of 50%.

This handbook provides comprehensive guidance on setting up and implementing financial instruments under the European Social Fund Plus (ESF+) to support employment, education and social inclusion. Developed to assist ESF+ managing authorities and other relevant stakeholders, the handbook highlights the potential offered by financial instruments to enable sustainable funding solutions and maximise social impact. The publication describes why financial instruments are relevant tool for achieving ESF+ objectives and how to make the most of their use.