Fergus O'Dowd (Louth, Fine Gael)
Link to this: Individually | In context

Question 109: To ask the Minister for Enterprise, Trade and Employment his views on whether his Department can play a role in improving access to finance for the SME sector; and if he will make a statement on the matter. [37940/06]

Micheál Martin (Cork South Central, Fianna Fail)
Link to this: Individually | In context

My Department and its agencies support the financing of SMEs in a number of ways. The funding provided by Enterprise Ireland and the County and City Enterprise Boards in the form of grants, refundable aid and equity participation provides an important source of finance to many SMEs. In addition, Enterprise Ireland actively promotes the availability of venture capital in Ireland and, earlier this year, I approved funding of €175m for venture capital that is projected to leverage venture capital funding of some €1 billion over the next decade.

Furthermore, the HALO Business Angel Partnership which is managed by the Dublin Business & Innovation Centre (BIC) and supported by the Cork, Waterford and Galway BICs, is designed to encourage and facilitate the provision of informal investment in enterprises by Business Angels, typically high net worth individuals who wish to invest in early stage companies with good growth potential. This partnership is being supported financially by Enterprise Ireland and InterTradeIreland.

Finally, my Department is currently researching the possibility of the financial institutions accessing loan guarantees from the European Investment Fund that would enable them to expand their lending to small enterprises. This initiative is being taken in response to a recommendation of the Small Business Forum earlier this year.