ANI
17 Oct 2021, 00:57 GMT+10
Sarajevo [Bosnia and Herzegovina], October 17 (ANI/FENA): The European Bank for Reconstruction and Development (EBRD) is extending a loan of up to Euro 5 million to Sparkasse Bank dd in Bosnia and Herzegovina to boost the competitiveness of small local businesses.
The loan to Sparkasse Bank is being provided under the SME Competitiveness Support Programme, a joint initiative by the EBRD and the European Union (EU). The loan will be secured by international sovereign bonds, the first time the EBRD has used such a financing structure in a project with a commercial bank in Bosnia and Herzegovina.
Sparkasse will on-lend the EBRD funds to small and medium-sized enterprises (SMEs) for investments that will improve their competitiveness and compliance with EU technical standards, for example, with regard to energy efficiency, renewable energy, water efficiency, waste minimization, recycling and improvements in health and safety standards, At least 60 per cent of the loans will go to support the green transition.
The SME Competitiveness Support Programme combines loan and grant financing, offering EU-funded grant incentives worth up to 15 per cent of the total loan amount for the successful implementation of investments. This will make local enterprises more competitive and improve their chances of succeeding on domestic, regional and international markets.
Sparkasse Bank manages total assets of BAM 1.84 billion (Euro943 million) and has more than 500 employees in 38 branches throughout Bosnia and Herzegovina. The bank services private individuals, SMEs, large companies, institutional clients and the public sector. It is owned by Austria's Steiermarkische Bank und Sparkassen AG.
Manuela Naessl, EBRD Head of Bosnia and Herzegovina, said: "We are very pleased to sign this loan agreement today and support the strengthening of the real economy in Bosnia and Herzegovina together with our long-standing partner, Sparkasse Bank. Overcoming the Covid-19 pandemic requires businesses to start investing again and this credit line will support local SMEs in making those investments and rebuilding the economy to be stronger, more resilient, greener and more competitive."Amir Softic, CEO of Sparkasse Bank, said: "Increasing the competitiveness of the SME segment and creating new jobs are strategic goals of Sparkasse Bank. Our mission is to support the development of the local economy and assist companies that create added value for society. I am, therefore, very glad that, even in these difficult times, together with our partner the EBRD, we stand firm in supporting SMEs by helping to align their business models with EU standards and requirements. Synergies between the EBRD and Sparkasse Bank will help companies become key generators of new employment and sustainable development in their local communities."Since it began operating in Bosnia and Herzegovina in 1996, the EBRD has invested more than Euro 2.7 billion in 190 projects across the country, stated the EBRD in BiH. (ANI/FENA)Get a daily dose of San Jose Sun news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to San Jose Sun.
More Information(Photo credit: Kirby Lee-Imagn Images) Sacramento State head coach Brennan Marion reached into Southeastern Conference territory...
(Photo credit: Paul Witwer/Standard-Times / USA TODAY NETWORK via Imagn Images) The Houston Texans announced a $500,000 commitment...
(Photo credit: Bill Streicher-Imagn Images) The New York Mets are signing Italian pitcher Matteo Marelli, the first European amateur...
(Photo credit: Ronald W. Erdrich/Reporter-News / USA TODAY NETWORK) Four-star wide receiver Kaydon Finley has committed to Notre...
(Photo credit: Geoff Burke-Imagn Images) Former NFL linebacker Bryan Braman is 'in the fight of his life,' battling a rare and aggressive...
(Photo credit: Isaiah J. Downing-Imagn Images) Colorado coach Deion Sanders, who has been suffering from an undisclosed medical condition,...
FRANKLIN, Tennessee: Hundreds of thousands of Nissan and Infiniti vehicles are being recalled across the United States due to a potential...
REDMOND, Washington: Microsoft is the latest tech giant to announce significant job cuts, as the financial strain of building next-generation...
LONDON UK - U.S. stock markets were closed on Friday for Independence Day. Global Forex Markets Wrap Up Friday with Greeback Comeback...
SANTA CLARA, California: Nvidia came within a whisker of making financial history on July 3, briefly surpassing Apple's all-time market...
SACRAMENTO, California: California's multibillion-dollar farms are facing a growing crisis—not from drought or pests, but from a sudden...
WASHINGTON, D.C.: President Donald Trump says the United States could soon reach a trade deal with India. He believes this deal would...