IDEAS home Printed from https://ideas.repec.org/a/spd/journl/v71y2021i1-2p73-91.html
   My bibliography  Save this article

On the Importance of Financial Instruments to Facilitate Growth

Author

Listed:
  • Ellitsa Dalampoura

    (European Commission, Directorate – General for Migration and Home Affairs)

  • Michael Polemis

    (Department of Economics, University of Piraeus, Piraeus, Greece)

Abstract

Small and Medium-Sized Enterprises (SMEs) constitute the backbone of all market economies worldwide; the EU is not an exception. As such, they merit particular attention from the part of the public authorities, in times of financial crisis when alternative financing sources are needed. Traditionally, the public authorities, being at the European or national level, used subsidies to assist SMEs in activities presenting some investment risk, and /or enhancing entrepreneurial high value-added export-oriented activities, producing tradable goods. This study presents the way financial instruments (FIs) were introduced into the European Union (EU) programs supporting SMEs during the financial and economic crisis and the intervention logic behind them.

Suggested Citation

  • Ellitsa Dalampoura & Michael Polemis, 2021. "On the Importance of Financial Instruments to Facilitate Growth," SPOUDAI Journal of Economics and Business, SPOUDAI Journal of Economics and Business, University of Piraeus, vol. 71(1-2), pages 73-91, January-J.
    • Handle: RePEc:spd:journl:v:71:y:2021:i:1-2:p:73-91
    as

    Download full text from publisher

    File URL: https://spoudai.unipi.gr/index.php/spoudai/article/download/2888/2725/2888-3806-1-SM
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Fatemi, Ali & Fooladi, Iraj & Tehranian, Hassan, 2015. "Valuation effects of corporate social responsibility," Journal of Banking & Finance, Elsevier, vol. 59(C), pages 182-192.
    2. Jeremy Galbreath, 2013. "ESG in Focus: The Australian Evidence," Journal of Business Ethics, Springer, vol. 118(3), pages 529-541, December.
    3. Austrian Institute of Economic Research, 2006. "Competitiveness Report 2006," WIFO Studies, WIFO, number 28814, April.
    4. Kempf, Alexander & Osthoff, Peer, 2007. "The effect of socially responsible investing on portfolio performance," CFR Working Papers 06-10, University of Cologne, Centre for Financial Research (CFR).
    5. Robert G. Eccles & Ioannis Ioannou & George Serafeim, 2014. "The Impact of Corporate Sustainability on Organizational Processes and Performance," Management Science, INFORMS, vol. 60(11), pages 2835-2857, November.
    6. Alexander Kempf & Peer Osthoff, 2007. "The Effect of Socially Responsible Investing on Portfolio Performance," European Financial Management, European Financial Management Association, vol. 13(5), pages 908-922, November.
    7. Ioannis Ioannou & George Serafeim, 2015. "The impact of corporate social responsibility on investment recommendations: Analysts' perceptions and shifting institutional logics," Strategic Management Journal, Wiley Blackwell, vol. 36(7), pages 1053-1081, July.
    8. Oecd, 2006. "The SME Financing Gap: Theory and Evidence," Financial Market Trends, OECD Publishing, vol. 2006(2), pages 89-97.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fafaliou, Irene & Giaka, Maria & Konstantios, Dimitrios & Polemis, Michael, 2020. "Firms’ Sustainability Performance and Market Longevity," MPRA Paper 101445, University Library of Munich, Germany.
    2. Fafaliou, Irene & Giaka, Maria & Konstantios, Dimitrios & Polemis, Michael, 2022. "Firms’ ESG reputational risk and market longevity: A firm-level analysis for the United States," Journal of Business Research, Elsevier, vol. 149(C), pages 161-177.
    3. Amrou Awaysheh & Randall A. Heron & Tod Perry & Jared I. Wilson, 2020. "On the relation between corporate social responsibility and financial performance," Strategic Management Journal, Wiley Blackwell, vol. 41(6), pages 965-987, June.
    4. Rui Coelho & Shital Jayantilal & Joao J. Ferreira, 2023. "The impact of social responsibility on corporate financial performance: A systematic literature review," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(4), pages 1535-1560, July.
    5. Darren D. Lee & John Hua Fan & Victor S. H. Wong, 2021. "No more excuses! Performance of ESG‐integrated portfolios in Australia," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 61(S1), pages 2407-2450, April.
    6. Guillermo Badía & Vicente Pina & Lourdes Torres, 2019. "Financial Performance of Government Bond Portfolios Based on Environmental, Social and Governance Criteria," Sustainability, MDPI, vol. 11(9), pages 1-13, April.
    7. Bannier, Christina E. & Bofinger, Yannik & Rock, Björn, 2019. "Doing safe by doing good: ESG investing and corporate social responsibility in the U.S. and Europe," CFS Working Paper Series 621, Center for Financial Studies (CFS).
    8. Abeysekera, Amal P. & Fernando, Chitru S., 2020. "Corporate social responsibility versus corporate shareholder responsibility: A family firm perspective," Journal of Corporate Finance, Elsevier, vol. 61(C).
    9. Ferrés, Daniel & Marcet, Francisco, 2021. "Corporate social responsibility and corporate misconduct," Journal of Banking & Finance, Elsevier, vol. 127(C).
    10. Maretno A. Harjoto & Andreas G. F. Hoepner & Marcus A. Nilsson, 2022. "Bondholders’ returns and stakeholders’ interests," Review of Quantitative Finance and Accounting, Springer, vol. 59(4), pages 1271-1301, November.
    11. Bonacorsi, Laura & Cerasi, Vittoria & Galfrascoli, Paola & Manera, Matteo, 2022. "ESG Factors and Firms’ Credit Risk," FEEM Working Papers 329521, Fondazione Eni Enrico Mattei (FEEM).
    12. Harjoto, Maretno A. & Hoepner, Andreas G.F. & Li, Qian, 2022. "A stakeholder resource-based view of corporate social irresponsibility: Evidence from China," Journal of Business Research, Elsevier, vol. 144(C), pages 830-843.
    13. Gutsche, Gunnar & Ziegler, Andreas, 2019. "Which private investors are willing to pay for sustainable investments? Empirical evidence from stated choice experiments," Journal of Banking & Finance, Elsevier, vol. 102(C), pages 193-214.
    14. Giovanni Catello Landi & Francesca Iandolo & Antonio Renzi & Andrea Rey, 2022. "Embedding sustainability in risk management: The impact of environmental, social, and governance ratings on corporate financial risk," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(4), pages 1096-1107, July.
    15. Sangki Lee & Insu Kim & Chung-hun Hong, 2019. "Who Values Corporate Social Responsibility in the Korean Stock Market?," Sustainability, MDPI, vol. 11(21), pages 1-14, October.
    16. Quynh-Trang Nguyen & John Francis Diaz & Jo-Hui Chen & Ming-Yen Lee, 2019. "Fractional Integration in Corporate Social Responsibility Indices: A FIGARCH and HYGARCH Approach," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 9(7), pages 836-850, July.
    17. Gunnar Gutsche & Andreas Ziegler, 2016. "Are private investors willing to pay for sustainable investments? A stated choice experiment," MAGKS Papers on Economics 201640, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    18. Gregor Dorfleitner & Mai Nguyen, 2017. "A new approach for optimizing responsible investments dependently on the initial wealth," Journal of Asset Management, Palgrave Macmillan, vol. 18(2), pages 81-98, March.
    19. Guillermo Badía & Maria C. Cortez & Luis Ferruz, 2020. "Socially responsible investing worldwide: Do markets value corporate social responsibility?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(6), pages 2751-2764, November.
    20. Dumitrescu, Ariadna & Järvinen, Jesse & Zakriya, Mohammed, 2023. "Hidden Gem or Fool’s Gold: Can passive ESG ETFs outperform the benchmarks?," International Review of Financial Analysis, Elsevier, vol. 86(C).

    More about this item

    Keywords

    SMEs; Subsidies; Financial instruments; Leveraging; Financial crisis;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • L38 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Policy
    • M21 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - Business Economics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spd:journl:v:71:y:2021:i:1-2:p:73-91. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SPOUDAI Journal of Economics and Business (email available below). General contact details of provider: https://edirc.repec.org/data/depirgr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.