The Dutch Alternative Credit Instrument (DACI) is poised to provide access to capital for SMEs in the Netherlands.
According to a post by the European Investment Fund (EIF), DACI is being launched by the Dutch National Promotional Bank Invest-NL and the Ministry of Economic Affairs in cooperation with the EIF. Invest-NL and the Ministry will each commit €50 million, while the EIF puts up €100 million. EIF is part of the European Investment Bank Group.
DACI will have €200 million at launch and the money will be used to provide funding to non-bank credit providers, which will provide additional financing to SMEs in the Netherlands. DACI will target allocations below € 2 million. In total, it is expected that around 250 Dutch SMEs are expected to receive financing through DACI.
Mona Keijzer, the Dutch Secretary of State for Economic Affairs and Climate, commented on the announcement:
“DACI connects two parties – growing companies and alternative financiers – who need each other if they are to move forward. Alternative financiers want to invest in growing companies, but they have trouble raising enough funds. And then there are the vibrant companies that are keen to expand their operations, but lack the money to do so. DACI can help fund managers obtain sufficient resources, and this enables Dutch companies to grow.”
“DACI is our first regional partnership in the EU targeting support to alternative credit providers. Although several new alternative credit providers or platforms have emerged in recent years, it remains a fragile segment in the financing chain for SMEs. DACI therefore constitutes an ideal opportunity in a space that is ripe for further expansion and growth.”
