Today marked the signature of a memorandum of understanding between the Luxembourg State and the National Credit and Investment Company (SNCI) concerning the financing of the social and solidarity economy.
On 21 November 2017, Minister of Labour, Employment and Social and Solidarity Economy Nicolas Schmit, and SNCI President Patrick Nickels met at 6zero1, the first incubator of Luxembourg social enterprises set up in Differdange, in order to sign a memorandum of understanding affirming their support for the development of social economy enterprises in Luxembourg.
Since 2009, the government has been involved in promoting and developing the social and solidarity economy and on 12 December 2016, implemented a law on the creation of societal impact companies that officially recognises the social and solidarity economy.
The social impact society (SIS) scheme aims to guarantee not only the financial management of companies in the social and solidarity economy, but also the primacy of social or societal purposes on the distribution of benefits. The scheme also aims to encourage the development of new dynamics in the field of sustainable finance.
SNCI is a public-law banking institution specialising in the medium- and long-term financing of Luxembourg companies through a range of loans as well as export credits and foreign financing. From now on, companies in the social and solidarity economy that opt for the SIS scheme and that meet the eligibility conditions of the SNCI will have access to the SNCI's financing instruments.
As of today, the Ministry of Labour, Employment, Social and Solidarity Economy and the SNCI undertake to carry out information and communication actions in order to make SIS specifically aware of the credit instruments offered by SNCI, in particular those intended for SMEs, and to consult with the representatives of the social and solidarity economy on the application of its instruments, which are also intended to support the development of the social and solidarity economy.
