The Green for Growth Fund (GGF), a public-private partnership registered in Luxembourg, recently partnered with MF Banka a.d. Banja Luka, a bank that primarily serves small and medium-sized enterprises (SMEs) in Bosnia and Herzegovina, to expand the bank’s lending for energy efficiency and renewable energy projects. MF Banka is borrowing EUR 5 million (USD 5.5 million) from GGF to fund these “green” efforts in the construction, transportation, and timber and agriculture processing sectors.
Established in 2010, MF Banka provides personal and business banking services, such as loans, payment cards and internet banking. As of March 2022, MF Banka conducts operations via 31 branches staffed by 264 people. The bank is a member of the Mikrofin Group of Bosnia and Herzegovina.
Founded in 2009 by the EU’s European Investment Bank and Germany-based Kreditanstalt für Wiederaufbau (KfW) Development Bank, GGF supports financial institutions and small businesses in efforts to increase energy efficiency and promote the usage of renewable energy in Europe, Western Asia and North Africa. GGF’s investors include the Netherlands-based ASN Bank and Germany-based Gemeinschaftsbank für Leihen und Schenken (GLS) Bank. As of 2020, GGF has EUR 570 million (USD 620 million) in outstanding investments.
By Adhya Singh, Research Associate
Sources and Additional Resources
GGF press release
https://www.ggf.lu/press/news/news-detail/ggf-and-mf-banka-boost-green-finance-in-bosnia-and-herzegovina-83
MF Banka homepage
https://mfbanka.com/
Mikrofin Group homepage
https://mikrofin.com/
GGF Impact Report 2020
https://www.ggf.lu/fileadmin/user_upload/Publications/Impact_Reports/GGF_Impact_Report_2020_web_compressed.pdf
FMO profile on GGF
https://www.fmo.nl/project-detail/31796
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