The Fund of funds manages BGN 1.8 billion under three programs: Innovation and Competitiveness in Enterprises Program 2021-2027, Research, Innovation and Digitalization for Smart Transformation Program 2021-2027 and Development of the Regions Program 2021-2027. The Fund's main activity is the structuring and management of financial instruments co-financed by the European Structural and Investment Funds during the 2021-2027 programming period. Financial instruments are an alternative way of grant financing, which is gaining an increasingly important role in the European Union budget. Targeting projects that could potentially begin self-sustaining, they provide investment support through loans, guarantees or equity investments. In this way, business and public institutions are supported for economic development. Financial instruments allow for the return (recycling) of funds that can be reused.
The Fund of funds selects financial intermediaries - banks, funds, credit and other financial institutions. In turn, the elected financial managers mobilize additional private capital and significantly increase the public resource that they provide to the final recipients.
All funds provided under the aforementioned Operational Programs for Financial Instruments are united in a common Fund of funds, and the company managing it is FMFIB EAD.