MICROCAPITAL BRIEF: European Bank for Reconstruction and Development (EBRD) to Loan $32m to Tunisia’s Banque de Tunisie for On-Lending to Micro, Small, Medium-sized Enterprises (MSMEs); $3.2m to Support Women-Led SMEs in Kosovo

The European Bank for Reconstruction and Development (EBRD), a UK-based multilateral financial institution, has agreed to lend EUR 30 million (USD 32 million) to Tunisia’s Banque de Tunisie, for on-lending to micro-, small and medium-sized enterprises (MSMEs) in the country. Through the effort, Banque de Tunisie intends to contribute to creating jobs and otherwise improving the country’s economy.

According to Hildegard Gacek, EBRD’s managing director for the Southern and Eastern Mediterranean region, “[EBRD is] very pleased to further support private enterprises in Tunisia by teaming up with Banque de Tunisie. Tunisia has great potential, with high levels of entrepreneurship, which we consider to be one of the most important pillars of the economy.”

EBRD has also announced that it will lend EUR 3 million (USD 3.2 million) to TEB Bank Kosovo, to support a “Women in Business” program that will offer financing, technical assistance and risk mitigation services to women-led small and medium-sized enterprises (SMEs) in Kosovo. These funds are bring provided under EBRD’s Western Balkans Women in Business framework, a facility with a budget of EUR 20 million (USD 21 million) that aims to support the development of women-led SMEs in the region by providing access to finance and business training.

 

EBRD invested EUR 8.5 billion (USD 11.4 billion) in 392 projects in 34 countries during 2013, and it reported total assets of EUR 49 billion (USD 65 billion) at the end of that year.

By Makai McClintock, Research Associate

About the European Bank for Reconstruction and Development (EBRD):

The European Bank for Reconstruction and Development (EBRD) is a multilateral institution headquartered in London, England. The bank began operations in 1991 upon the agreement of 40 countries, and is owned by 64 countries as well as the European Investment Bank and the European Union as of 2014. It aims to finance operations that are both commercially viable and assist development in Eastern Europe, Central Asia and North Africa. It does this by providing loans, debt securities, equity investments, guarantees and technical assistance to micro- and small businesses via commercial banks and non-bank microfinance institutions (MFIs). EBRD invested EUR 8.5 billion (USD 11.4 billion) in 392 projects in 34 countries during 2013, and it reported total assets of EUR 49 billion (USD 65 billion) at the end of the year.

Sources and Additional Resources:

EBRD Press Release: “EBRD and Banque de Tunisie strengthen smaller enterprises in Tunisia,” http://www.ebrd.com/news/2015/ebrd-and-banque-de-tunisie-strengthen-smaller-enterprises-in-tunisia.html

EBRD Press Release: “EBRD supports women entrepreneurs in Kosovo,” http://www.ebrd.com/news/2015/ebrd-supports-women-entrepreneurs-in-kosovo.html

MicroCapital Universe Profile on the European Bank for Reconstruction and Development (EBRD): https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=European+Bank+for+Reconstruction+and+Development+%28EBRD%29

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