Glossary

A transaction or scheme, whereby the credit risk associated with an exposure or pool of exposures is tranched, having both of the following characteristics:

(a) payments in the transaction or scheme are dependent upon the performance of the exposure or pool of exposures;

(b) the subordination of tranches determines the distribution of losses during the ongoing life of the transaction or scheme.

For ESIF, securitisation is possible under the SME initiative (Article 39 CPR) only i.e. for ERDF and EAFRD contributions to the SME initiative.

Member States are entrusted by the European Commission with the implementation of operational programmes and the allocation of funds to final recipients (e.g. SMEs, municipalities, natural persons etc.).

Тhe funds governed by the Common Provisions Regulation, which include the European Regional Development Fund (ERDF), the European Social Fund Plus (ESF+), the Cohesion Fund (CF), the European Aquaculture, Maritime and Fisheries Fund (EMFAF), the Asylum, Migration and Integration Fund (AMIF), the Internal Security Fund (ISF) and the Border Management and Visa Instrument (BMVI).

Small and medium-sized enterprises – as defined in EU law: EC recommendation 2003/361.
The main factors determining whether a company is an SME are:
1. number of employees and
2. either turnover or balance sheet total

A fund through which a managing authority or a holding fund provides financial products to final recipients.

Support from the ESI Funds means support from one or more of the following funds: European Regional Development Fund, European Social Fund, Cohesion Fund, European Agriculture Fund for Rural Development, European Maritime and Fisheries Fund.

Support from the ESI Funds does not include the national co-financing.