The Scottish government is one step closer to launching the Scottish National Investment Bank, following the publication of the implementation plan.
The plan – which has been developed by Benny Higgins, CEO at Tesco Bank – has recommendations covering the remit, governance, operating model and financing of the bank.
First minister Nicola Sturgeon first announced her intention to establish the bank back in September.
An advisory group was set up to support the Tesco Bank CEO and included investment professionals, academics, the Scottish Futures Trust, Scottish Enterprise and senior Scottish government officials.
The plan’s recommendations include:
- creating a publicly owned and mission-driven bank to support Scotland’s economic priorities and promoting inclusive growth
- operating the bank in an ethical and transparent way
- co-working to crowd in – not crowd out – private sector investment
- securing a long-term capitalisation of at least £2bn over the first 10 years
- becoming a self-sustaining bank in the longer term, funding investments through its own capital
- providing long-term, patient finance for both smaller firms and larger projects
- creating opportunities and new markets for the private sector to invest in.
Sturgeon said: “To realise our ambitions for Scotland’s economy, innovative companies need access to strategic, patient finance to grow and thrive, while the business environment must encourage our young people to be the entrepreneurs of the future.
“That is why I committed to a publicly owned national investment bank, which will act as a cornerstone for the economy.
“I thank Benny Higgins and the advisory group for their work to bring this aspiration a step closer.
“The Scottish government will carefully consider his recommendations, as we move forward with the creation of the Scottish National Investment Bank.”
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