ICO to channel 40,000 million in loans from second part of Next Generation funds

Spain seizes good moment in risk premium to issue 10 year syndicated bond

The European funds will be used for the green and digital transition of companies, as well as to facilitate social housing and the audiovisual sector. The mobilisation will be carried out through five funds: ICO-Green (€22,000 million), loans to households, private and public companies for sustainable projects and energy efficiency, among others; ICO-Enterprise (€8,150 million, of which €1,000 million is earmarked for tourism) to strengthen the growth of companies, especially SMEs; ICO-Housing (€4 billion) for social rental housing; Next-Tech Fund (€4 billion) for the growth of Spanish start-ups and Spain Audiovisual Hub (€1.712 billion) for audiovisual projects.

To this end, four financial instruments are established: loans through financial intermediaries, credit granted directly by the ICO, the ICO’s acquisition of fixed income, and direct equity investment through private asset managers. The loans in question may be formalised until August 2026, although repayments may continue to be reinvested until 2036.

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The Corner
The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.