December 28 (SeeNews) - The European Bank for Reconstruction and Development (EBRD) said on Friday it is providing a 5 million euro ($5.7 million) loan to Macedonia’s biggest lender Komercijalna Banka to help improve the competitiveness of small- and medium-sized enterprises (SMEs).
“The EBRD loan is backed by 750,000 euro from the EU, delivered under its Instrument for Pre-Accession Assistance (IPA),” the lender said in a press release.
At least 60% of the funds will be earmarked for reducing energy and resource use and associated costs, the EBRD noted
The loan is provided under the Western Balkans SME Competitiveness Support Programme, which, with the support of the EU, provides medium- and long-term financing to SMEs and helps them to align with EU standards and requirements, the statement added.
Komercijalna Banka AD Skopje has become the third Macedonian bank to join an initiative led by the EBRD to boost lending to the country’s privately owned SMEs, the bank noted, adding that Western Balkans SME programme aims to provide up to 30 million euro in loans to Macedonian commercial banks over the coming year, with the EU contributing a further 6 million euro in the following years.
“The current programme builds on an earlier 20 million euro competitiveness support facility, which was in place between 2010 and 2015. It was also supported by the European Union, which provided 4 million euro.”
To date, the EBRD has signed more than 110 projects in the country, with a net cumulative business volume of more than 1.75 billion euro.
($ = 0.87689 euro)
Komercijalna Banka AD Skopje is among the biggest banks in SEE. You can download our SEE Top 100 ranking
here or subscribe to our free Top 100 newsletter
here