A cura del Team Tax Incentives & Grants  

Prepared by the Tax Incentives & Grants Team. 

Fund 394/81 SIMEST is today one of the most effective levers for Italian companies that want to grow in international markets, innovate their processes, and accelerate the digital and ecological transition.  Thanks to subsidized financing with rates of up to 10% of the EU reference rate and non-repayable grant shares of up to 30%, companies can support concrete investments while significantly reducing the cost of capital.  The SIMEST measures have recently been strengthened and are supported by dedicated allocations that must be used by the end of 2026.   

To further explore these aspects and to focus on the main developments, we anticipate that during the month of September a webinar dedicated to Fund 394/81 will be organized, with the participation of SIMEST representatives.  Fund 394/81 makes available 9 lines of intervention to support the international growth of companies.  

Below we examine in depth the most strategic and recently strengthened measure – Digital or Ecological Transition – and the further available lines, including those dedicated to specific markets such as Africa, India, and Latin America. 

Digital or Ecological Transition – Up to €5M 

This line, recently strengthened also in light of the crisis in the Persian Gulf area, allows exporting companies or companies belonging to an export-oriented supply chain to finance a broad range of projects and expenses, including:  

• Investments in digital innovation (software, Industry 4.0, cybersecurity, IoT, robotics, blockchain);  

• Energy efficiency and environmental sustainability;  

• Equity strengthening, including in Italy, i.e., investments in tangible and intangible fixed assets (e.g., purchase of fixed assets, such as plants and machinery). Also included in this item is the increase of share capital or shareholder financing in favor of a controlled company, including a foreign one, within the limit of €600K in the standard configuration (which can be raised to €1M for companies with US interests, or €1.5M for energy-intensive companies/those in the Persian Gulf situation).  

In the standard configuration of the measure, at least 50% of the amount must be dedicated to digital/green investments; this proportion varies for companies accessing the incentive enhancements described below (USA, Western Balkans, Energy/Persian Gulf), where the share to be dedicated to equity strengthening can rise up to 80–90%.  Such expenses can be incurred by the Italian company or by its subsidiaries.  

The incentive consists of:  

• A subsidized loan with a 6-year duration (+2 years of pre-amortization) with an adjustable subsidized rate (up to 10% of the EU reference rate – currently equal to 0.371%);  

• A non-repayable grant share from 10% up to 30%, based on company requirements and considering the incentive enhancement developments described below.  

Examples of eligible investments: implementation of MES/ERP systems with IoT for production monitoring; photovoltaic systems with storage for energy self-consumption; investments in cybersecurity and advanced digitalization; environmental certifications and energy audits; capitalization of a foreign subsidiary (including in the USA) for production or commercial expansion. 

Against the Standard conditions of the measure, which provide for: 

• Rate: min 0.371% / max 2.968%;   

• Share dedicated to equity strengthening: up to 50%;  

• Non-repayable grant contribution: up to 10% (max €100K) subject to specific requirements;  

• Duration of the subsidized loan: 6 years, of which 2 are pre-amortization;  

• Upfront grant: 25%;  

• Share dedicated to equity strengthening of subsidiaries: up to €600K;  

• Amount: from €10K to €5M. 

The recent developments provide for various incentive enhancements and favorable conditions: 

➢ Energy-intensive companies / “Energy for International Competitiveness” measure (increase in energy costs ≥10% or reduction in revenue ≥10% due to the conflict in the Persian Gulf area – applications by 31/12/2026):  

• Share dedicated to equity strengthening up to 90% (max €1.5M);  

• Non-repayable grant contribution share: up to 30% for SMEs (max €200K);  

• Upfront grant: 50%;  

• Exemption from guarantees;  

• Extension of the subsidized loan duration by +2 years (up to 8 years total).  

➢ Companies with interests in the United States:  

• Share dedicated to equity strengthening up to 80% (max €1M for equity strengthening of US subsidiaries);  

• Upfront grant: 50%;  

• Extension of the subsidized loan duration by +2 years (up to 8 years total);  

• Facilitated access to the non‑repayable grant component of up to 10% (max €100K).  

➢ Companies with interests in the Western Balkans (Serbia, Kosovo, Bosnia-Herzegovina, Albania, Montenegro, North Macedonia):  

• Share dedicated to equity strengthening up to 80% (max €600K);  

• Exemption from guarantees;  

• Facilitated access to the non‑repayable grant component of up to 10% (max €100K). 

✦ AI Section of Fund 394/81 – The SIMEST Incentives Committee has established a new €200 million section dedicated to investments in Artificial Intelligence, with the aim of strengthening the competitiveness and innovation of Italian companies in line with the Farnesina’s Export Plan.   

• The section is not yet operational: the access procedures, eligible expenses, ceilings, and non-repayable grant share will be defined in the near future. 

Other Available SIMEST Lines 

Several lines are also available (which share the standard conditions described above) to support companies with an international vocation, which can be considered for specific projects and which have been further strengthened by the 2026 developments.  

There is also a measure dedicated to projects for expansion into new markets: 

Foreign Market Entry – Up to €3.5M - Designed for companies that intend to open a structure abroad: offices, showrooms, shops, corners.  The measure supports start-up and management costs, as well as the promotional activities necessary for the launch in the new market.  Expenses fall into two categories: Class 1 – direct investments in the structure (at least 50% of the amount), and Class 2 – support expenses such as training, consultancy, and promotional activities (up to 50%).   

Examples of eligible expenses: rent, renovation, and fitting-out of offices, showrooms, or corners abroad; salaries and charges for personnel permanently working abroad; training of local personnel and specialist consultancy for the commercial launch; incoming buyer campaigns, advertising material, and trademark registration in the foreign country; development of a website dedicated to the new market.   

Expenses connected to participation in fairs and exhibitions can also be subsidized through an ad hoc line: 

International Fairs and Exhibitions – Up to €500K - The ideal instrument for those participating in international fairs and events.  For companies with interests in the United States or the Western Balkans, the non-repayable co-financing is enhanced up to 10% of the approved amount.   

Examples of eligible expenses: rental and fitting-out of stands, equipment, personnel, travel, and support services; transport of materials, products, samples, and machinery; B2B/B2C meetings, workshops, advertising, promotional materials, and customer incoming activities; specialist and digital consultancy (design, product innovation, photo/video, CRM, web design, digital marketing); professional consultancy for environmental checks, application support, and auditor certifications.  

For companies that want to develop their online business, the following line is available: 

E-commerce – Up to €500K - Designed for companies aiming to expand online sales in foreign markets, the measure covers the creation or expansion of an e-commerce platform, data security, and digital marketing activities necessary to increase sales (expenses for the platform and digital investments must represent at least 50%).  For companies with interests in the United States or the Western Balkans, the non-repayable co-financing is enhanced up to 10% of the approved amount.   

Examples of eligible expenses: creation, acquisition, and configuration of the platform (hardware, software, apps); hosting, data security, content and graphic solutions, data monitoring, branding, and certifications; web marketing, communication, and staff training; professional consultancy for compliance assessments with national environmental regulations. 

To strengthen international competitiveness through certifications and specialist consultancy, the dedicated line is: 

Certifications and Consultancy – Up to €500K - Designed for companies that want to strengthen their international competitiveness, the measure covers strategic consultancy, feasibility studies, and the obtaining of product, environmental, or sustainability certifications.   

Examples of eligible expenses: consultancy and feasibility studies to identify, develop, and strengthen presence in foreign markets; training expenses; consultancy for technological and product innovation relating to production processes and environmental sustainability; product/environmental/sustainability certifications; project support expenses (e.g., travel and accommodation for administrators/local partners); professional consultancy for compliance assessments with national environmental regulations. 

For companies that want to temporarily engage a specialized managerial figure, the following line is available: 

Temporary Manager – Up to €5M - Subsidizes the temporary placement in the company of a manager specialized in internationalization, digital, or ecological transformation.   

Examples of eligible expenses: professional services of the Temporary Manager (minimum 60% of the subsidized intervention) as resulting from the contract; expenses for carrying out the project (maximum 40% – marketing/promotion, integration and digital development of company processes, modernization of organizational/management models, international certifications).  

Focus on Specific Markets 

Some SIMEST lines represent a variation of the Digital/Ecological Transition line dedicated to strategic extra-EU markets, with a similar logic – production, digital, and green investments, training, and hiring of local personnel – calibrated for Africa, Central or South America, and India:  

• Strengthening of African Markets – Up to €5M;  

• Competitiveness in Central or South America – Up to €5M;  

• Strategic Support for the Indian Market – Up to €5M.  

For these lines, examples of eligible expenses include: purchase or upgrading of machinery, digital technologies, and software for production innovation; opening or upgrading of local production or commercial structures (showrooms, offices, pop-ups); training and hiring of local personnel, including under apprenticeship contracts; strategic, tax, regulatory, and labor-law advisory services for market entry; participation in fairs and trade missions, with scouting and matchmaking services.  

It is useful to recall that for each of the 9 SIMEST lines, expenses aimed at the submission and management of the application for the Incentive Intervention, and at the certifications issued by the Auditor, are also eligible, up to 5% of the approved amount.  

In addition, professional consultancy expenses for compliance checks against national environmental regulations are always eligible.  

The support of a dedicated consultant is advisable not only to identify the SIMEST line best suited to one’s needs and to assess the eligibility of projects, but also to correctly handle the delicate phases of application and subsequent review.