MICROCAPITAL BRIEF: EBRD Loans $16m to Banco Sabadell Casablanca to Increase Lending to SMEs in Morocco

The UK-based European Bank for Reconstruction and Development (EBRD) recently issued a loan of MAD 165 million (USD 16 million) to the local unit of Spain-based Banco Sabadell SA to increase the financing of small and medium-sized enterprises (SMEs) in Morocco. Founded in 2009, Banco Sabadell Casablanca is primarily involved in Morocco’s SME market. The entity earned a profit of EUR 1.2 million (USD 1.4 million) during 2018. As of June 2019, it held total assets of MAD 1.1 billion (USD 110 million).

Founded in 1881, Banco Sabadell SA serves approximately 12 million customers via 2,457 branches in 22 countries. For 2018, it reported gross income of EUR 5 billion (USD 5.6 billion) on total assets of EUR 222 billion (USD 247 billion), earning a return on equity of 2.6 percent and return on assets of 0.15 percent.

Founded in 1991, EBRD provides loans, debt securities, equity investments and technical assistance to micro-, small and medium-sized enterprises (MSMEs) via commercial banks and microfinance institutions. With a focus on “the promotion of private and entrepreneurial initiative,” the bank invested EUR 9.5 billion (USD 10.9 billion) during 2018 in 395 projects. As of 2019, EBRD’s shareholders comprise 67 countries plus the EU.

Sources and Additional Resources

EBRD press release
https://www.ebrd.com/news/2019/ebrd-supports-smaller-firms-with-15m-loan-to-banco-sabadell-in-morocco-.html

Banco Sabadell Casablanca homepage
https://www.bancosabadellcasablanca.com/

Banco Sabadell Casablanca financials
https://www.bancosabadellcasablanca.com/cs/Satellite/BSCasablanca/Publicacion-Financiera/GBS_Generico_FA/2000024468384/1191433478140/es/

Banco Sabadell SA 2019 annual report
https://www.grupbancsabadell.com/memoria2018/en

Banco Sabadell 2019 financial publication
https://www.bancosabadellcasablanca.com/cs/Satellite/BSCasablanca/Publicacion-Financiera/GBS_Generico_FA/2000024468384/1191433478140/es/

EBRD homepage
https://www.ebrd.com/

EBRD 2018 annual report
https://www.ebrd.com/news/publications/annual-report/annual-review-2018.html

MICROCAPITAL BRIEF: EBRD Issues $20m Credit Line to Ipoteka Bank of Uzbekistan to Increase Microfinance, SME Lending
https://www.microcapital.org/microcapital-brief-erbd-issues-20m-credit-line-to-ipoteka-bank-of-uzbekistan-to-increase-microfinance-sme-lending/

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