The agreement will allow micro enterprises in Ireland to access to over 3 million euros of additional funding guaranteed under the CIP which will help to support new entrepreneurs and create over 600 jobs.
This funding will be provided by the Social Finance Foundation.
The target of First-Step Microfinance is to provides loans to those who have difficulty accessing finance from traditional commercial banking.
Commenting on the transaction, Ms. Pauline Irwin-O’Toole Chief Operating Officer at First Step said: “First-Step is pleased to renew its partnership with the EIF. This Guarantee will enable First-Step to provide enhanced access to finance and to mitigate a part of the risk in relation to bad debts on the loan portfolio. This intervention is both timely and crucial for small start-ups and developing businesses in Ireland in terms of job protection and job creation”.