Project description
and objectives:
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The EUR 75 million framework builds on the positive experience of the existing
Western Balkans SME Finance Framework and aims at broadening the outreach of
financial institutions in Albania, Bosnia and Herzegovina, FYR Macedonia,
Serbia and Montenegro (together the “Western Balkans”) and Croatia towards
smaller business clients and micro businesses in particular, while helping
improve financial intermediation and strengthening competition in the
financial sectors of these countries. Specifically, the new framework will
include debt facilities to partner commercial banks, leasing companies and
non-bank microfinance institutions (“NBMFIs”) for on-lending and leasing
transactions in favour of micro, small and medium enterprises (“MSMEs”). In
addition, the framework will include equity investments in selected financial
intermediaries and guarantees to NBMFIs for borrowing from local commercial
banks. In Croatia the Framework will primarily aim at supporting NBMFIs.
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Sub-projects:
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- Western Balkans MSME FW - Opportunity Bank (Serbia) - Equity
- Western Balkans MSME Framework - MIKROFIN
- Western Balkans MSME FW - Mikrokreditna Organizacija EKI
- WB MSME FW - Kosovo Enterprise Program (KEP)
- Western Balkans MSME - Moznosti
- Western Balkans MSME FW - Partner
- Western Balkans MSME FW - Sunrise
- Western Balkans MSME F/W - MCO MI-BOSPO
- Western Balkans MSME F/W - Prizma MKO
- Western Balkans MSME FW - KEP II
- Western Balkans MSME FW - Alter Modus III
- Western Balkans MSME FW - Sunrise II
- Western Balkans MSME FW - EKI (Debt II)
- Western Balkans MSME FW - ABA Capital Increase
- Western Balkans MSME FW - KEP III
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Transition impact:
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The facility will support the financial sectors in Western Balkans and Croatia
through a combination of debt and equity financing and will promote adherence
to best practices in corporate governance and strengthen financial discipline.
The facility is aimed at improving financial intermediation specifically in
favour of the MSME sector in the region by providing access to medium and
long-term financing.
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The client:
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Participating banks, NBMFIs and leasing companies.
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EBRD finance:
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EUR 75 million in debt, equity and guarantee facilities to financial
intermediaries. The first proposed transaction under the Framework will be a
EUR 3.0 million senior loan to FINCA Kosovo.
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Total project cost:
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Not applicable.
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Environmental impact:
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The project will comply with EBRD’s Environmental Procedures for Small and
Micro Loans and for Intermediated Financing through Local Banks in respect to
MSME components. These include compliance with applicable national
environmental, health and safety legislation, adherence to the Environmental
Exclusion List, submission of Annual Environmental Report to the Bank and
nomination of a senior staff member in charge of the environmental issues.
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Technical
cooperation:
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Technical cooperation funding of up to EUR 10 million will be sought in order
to achieve the stated goals under this Framework. It is envisaged that
Framework projects with partner banks and leasing companies will be
accompanied with appropriate TC to support institution building aimed at
establishing sustainable MSME finance operations and expanding their outreach.
TC projects with participating NBMFIs will be aimed at general institutional
strengthening, including supporting their transformation into regulated banks.
For consultant opportunities for projects financed by technical cooperation
funds, visit procurement
of consultants.
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Company contact:
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Not applicable.
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EBRD contact:
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Oksana Pak, Operation Leader: pako@ebrd.com
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Business opportunities:
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For business opportunities or procurement, contact the client company.
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General enquiries:
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EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168; Fax: +44 20 7338 7380
Email: projectenquiries@ebrd.com
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