EBRD, EU and Banca Intesa expand support for women entrepreneurs and underserved businesses in Serbia
The European Bank for Reconstruction and Development (EBRD) and the European Union (EU), in partnership with Banca Intesa, a member of the Intesa Sanpaolo Group, have provided an additional €120 million in support to entrepreneurs and small and medium-sized enterprises across Serbia.
Funds from the new financial package will be directed to the financing of investments and the acquisition of working capital of small and medium-sized enterprises with limited access to financing, with a focus on women and young people-led businesses, as well as small and medium-sized enterprises operating in tourism, agriculture, and rural areas.
The first part of the package, worth €20 million, is aimed at women-led small and medium-sized enterprises. This marks the ninth consecutive loan signed by Banca Intesa with the EBRD under the Women in Business program. With previous funds amounting to nearly €55 million, the bank has successfully supported more than 4,300 women’s entrepreneurial ventures.
As part of the new financial package, an additional €100 million of support has been provided for companies with limited access to capital. These funds are available through the portfolio lending risk-sharing agreement between the EBRD and Banca Intesa, the first of its kind in Serbia. Uder this arrangement, the EBRD will cover up to 50 per cent of the credit risk on eligible SME loans
Both facilities are backed by the European Union, which is providing technical assistance and a first-loss counter-guarantee through the European Fund for Sustainable Development Plus (EFSD+) program, which encourages the green transformation of these enterprises.
"I am proud of the continuity of cooperation with the EBRD, which confirms our long-term strategic commitment to be a reliable financial partner to the development of small and medium-sized enterprises in Serbia. As a bank that, through this cooperation, was among the first to introduce innovative financial instruments to the domestic market – from the "Women in Business" program to the first risk-sharing arrangement – today we are going a step further with funds that will enable us to significantly expand the scope of financing for small and medium-sized enterprises with development potential, with more efficient risk management. With a focus on sustainable development projects and women's empowerment, we continue not only to build competitiveness, but also to contribute to the creation of a more resilient, inclusive and sustainable economic environment in our country," said Darko Popović, President of the Executive Board of Banca Intesa.
