More than 50% of available financing in the Malta Trade for Growth (MTFG) Fund has already been taken up, less than six months after the launch of a second, bigger tranche of €75 million.
The €75 million MTFG was launched to provide support for Malta-based businesses seeking new export success after the first €50 million fund in 2013 was completely utilised within a year.
The Malta Trade for Growth Fund was established by HSBC Malta as a vehicle to internationalise businesses and support the long-standing entrepreneurship that has been a hallmark of Maltese businesses for many years. The Fund grants businesses with a sound expansion plan access to HSBC's trade and lending resources, as well as its worldwide network of local trade experts.
HSBC Malta Head of Commercial Banking, Michel Cordina, said: "The speed with which the €75 million fund has been taken up is a testament to Malta's vibrant entrepreneurial spirit. Many of our clients are using the Fund to innovate and transform their businesses into some of Malta's biggest and most powerful."
Businesses everywhere face tough decisions in the abundance of mixed economic messages. HSBC believes that continued support and encouragement, through initiatives such as MTFG, can give them the confidence to fulfil their ambitions with renewed enthusiasm.
J M Vassallo Vibro Steel Limited is feeling this enthusiasm. The company processes and supplies steel reinforcement and a wide range of products for the local construction industry, and is one of a number of beneficiaries of the €75 million Fund.
"HSBC's Commercial Banking team has offered our company their excellent assistance and support in making it possible for us to offer our customers increased and more advantageous credit facilities. This provides support to our customers to better manage their project finances during construction periods," said the company's Managing Director, Raymond Vassallo.
Other businesses have used the available funding to create new jobs, scale operations and add new value, with some even crediting the Bank with writing a new trade finance agenda amidst more challenging economic climates elsewhere.
For B&B Group, whose core business is entrenched in the construction industry, MTFG served as an enabler and allowed the company to realise its plans to diversify into steel imports and processing.
"The Structured Trade Finance offered to us by the Bank is extremely versatile, offering the same flexibility of an overdraft facility, but with lower interest rates. We highly commend this finance facility as well as the very dedicated and committed team that addresses our needs at HSBC," said B&B Group CEO Ing. Etienne Bartolo.
"Another important benefit to our company was HSBC's assessment of the suppliers we were dealing with for the first time. This is a case of a customer tapping into the Bank's experience in order to make a secure transaction with our new foreign suppliers," added Ing. Bartolo.
HSBC Malta CEO Andrew Beane said: "Most of the beneficiaries of our fund have been small and medium enterprises. These companies are the heart and soul of Malta's economy and we are delighted to have played our part in supporting these businesses to grow"
Due to the important role this initiative has played in supporting the Maltese economy, HSBC's Trade for Growth Initiative made it to the finals of the 'Worker of the Year Award' team category.