COSME portfolio guarantee

if your business and the requested loan or bank guarantee are eligible, you can strengthen the required collateral background with a COSME portfolio guarantee in connection with the requested loan or bank guarantee to be issued

  • free of charge
  • simple bank administration
  • available to secure a wide range of loans and bank guarantees
COSME portfolio guarantee


Under certain conditions the K&H Bank may ask for the involvement of a free-of-charge COSME Portfolio Guarantee in addition to strengthen the collateral security.  COSME guarantees are issued by the COSME (Competitiveness of Enterprises and Small and Medium-sized Enterprises) Programme and the European Fund for Strategic Investments (EFSI) in the framework of the European Investment Plan. EFSI’s mission is to facilitate the financing and implementation of strategic investments in the European Union and to prevent disruptions in financing.


the main conditions of the COSME portfolio guarantee

  • it is free of charge and is not considered to be a form of state subsidy
  • 50% for financing in accordance with the COSME terms and conditions
products eligible for a COSME portfolio guarantee
your business will be eligible for the COSME portfolio guarantee if it fulfils the following conditions:
  • it qualifies as a micro, small or medium-size enterprise at the time of signing the contract 
  • it has the bank rating specified by the European Investment Fund 
  • it is established or operates in the European Union or a country participating in the COSME Programme 
  • it is not subject to collective insolvency proceedings (bankruptcy or liquidation proceedings) nor fulfils the criteria under Hungarian law for being placed in collective insolvency proceedings (bankruptcy or liquidation proceedings) at the request of its creditors;
  • it is not engaged, within the scope of the COSME portfolio guarantee, in the following activities prohibited by the European Investment Fund: 
    • illegal activities (production, trade, and any other activities that are banned by law, including procedures of human reproduction) 
    • production of and trade in tobacco products and distilled alcoholic beverages and related products 
    • manufacture of and trade in weapons and ammunition (except when done expressly within or in relation to the scope of some EU policy) 
    • operation of casinos and similar gambling services 
    • research and development into any IT solution or application specifically aimed at 
      • supporting any of the above listed prohibited activities 
      • the operation of online gambling or casinos 
      • pornography 
      • intrusion into electronic data networks or illegal downloading of electronic data 
  • it does not engage in illegal activities during the life of the contract secured by the COSME portfolio guarantee (illegal meaning especially the violation of the laws of Hungary, the acts of the European Union, and international law, including but not limited to the Charter of Fundamental Rights of the European Union and the European Convention on Human Rights and the Protocols thereof) 
  • it has never breached any credit, loan or lease contract made with K&H Bank or any other financial institution 
for a contract to be eligible for a COSME portfolio guarantee it must 
  • not exceed the individual facility limit of HUF 45 million (although your business can have several transactions secured by a COSME portfolio guarantee at the same time)
  • be denominated in HUF 
  • have a term of one to ten years (five years for revolving facilities)
  • have a pre-defined repayment schedule or the revolving option 
  • have investment in tangible or intangible assets, and/or financing of current assets and/or the furbishing of a related bank guarantee as its purpose 

who might be interested?

  • micro, small and medium-size enterprises that seek to strengthen their collateral background with a security solution that is free of charge and fast and easy to obtain 

  • you don’t need to submit any additional documents for strengthening the collateral securing your credit or bank guarantee with a COSME portfolio guarantee
  • the issuer of the COSME portfolio guarantee, the European Investment Fund, does not run a preliminary eligibility check and thus it does not take any extra time to furbish the COSME portfolio guarantee 
This material does not constitute an offer. The Bank and the European Investment Fund reserve the right to modify the terms and conditions. A detailed description of the COSME portfolio guarantee and its terms and conditions can be found in the relevant client agreement. K&H Bank will decide on the rating of the client at its sole discretion, in accordance with its own policies.