Portugal’s development bank receives €250 million capital increase

The European Commission has today approved a €250 million capital increase for Portugal’s Banco Português de Fomento (development bank), to be entirely funded by the recovery and resilience mechanism. Says a statement issued by the commission this increase will allow the bank to increase funding to especially small and medium-sized enterprises affected by the Covid-19 pandemic through “granting public guarantees in close collaboration with commercial banks active in Portugal”.