Financing Leverage Tools

The financing possibilities available to a municipality are ever decreasing. For this reason every municipality has a duty to make the most of every likely source of financing. In the last years modern and innovative financial leverage tools have been created and can be utilised by a municipality. How they work: The philosophy promoted by the European commission is to move away from lump sum grants to loans with particularly favourable terms. The key characteristics is the multiplying character of the available capital, with the pay-out leading to the re-investment in new activities. Main characteristics:

• Revolving
• Leverage
• Sources of funding
• Fund of funds

What they are: Depending on the subject matter, there is a plethora of financing tools. Indicatively we mention:

• Custodial and lending fund
• Jessica
• Jeremy
• Crowdfunding