The Ministry of Finance: four-fold increase in INVEGA's authorised capital will improve funding opportunities
At today's meeting, the Government approved the proposal of the Ministry of Finance to significantly strengthen the national promotional institution „Investicijų ir verslo garantijos“ ("Investments and business guarantees") (INVEGA) by increasing its authorised capital by EUR 150 million, i.e. almost four times.
This will strengthen INVEGA's potential, enable the development of a range of long-term financing mechanisms, and enable the provision of financing to businesses and private and public entities to meet financing needs in sectors suffering from underfunding.
“Improving access to finance is one of the Government’s objectives, which we have consistently pursued, so during this term of office we have done what other governments have failed to do – we have consolidated 4 national promotional institutions into one strong national development fund. One of the biggest projects of the fund today is the successful launch of the financial instrument ‘Billion for Business’ in April, providing additional funding from INVEGA’s authorised capital and enabling additional private funds to be attracted for investment and making a significant contribution to financing both business and the public sector,” Minister of Finance Gintarė Skaistė says.
According to the Minister, the implementation of environmentally neutral and innovative technologies will ensure the production of high value-added products and the development of their exports.
In 2023, the consolidation reform phase of the National Promotional Institutions (NPIs) was completed, with INVEGA becoming the only financial institution with NPI status to implement promotional financial instruments. This allows pooling the necessary knowledge and competences, unifying and optimising NPI operating practices and fund management in various investment areas, creating preconditions for attracting institutional investors, strengthening public-private partnerships, and increasing the supply of financial instruments for financially viable projects in a sustainable manner.
The authorised capital of INVEGA will be increased with the funds allocated to Lithuania from the supplemented plan “New Generation Lithuania”. The Ministry of Finance will issue 517,920 dematerialised ordinary registered shares of INVEGA, which will account for 73.73% of the total shares of INVEGA.
Currently, the authorized capital of INVEGA is EUR 53.4 million, 100% of shares is owned by the State of Lithuania.
Last updated: 05-06-2024
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