EBRD provides loan of up to €10 million to Hipotekarna Banka Podgorica

• EBRD loan of up to €10 million will be lent on to eligible private individuals for housing purposes
• Loan will provide long-term financing for residential mortgage loans in Montenegro
• Project will help to meet growing demand for mortgages in the country

The European Bank for Reconstruction and Development (EBRD) is providing a loan of up to €10 million to Hipotekarna Banka Podgorica to contribute to the development of Montenegro 's financial sector - mainly as regards mortgage lending - and help to improve the housing conditions of private individuals.

The proceeds of the loan will be used by Hipotekarna Banka Podgorica to provide long-term financing for residential mortgage lending in Montenegro in accordance with the List of Minimum Standards for Residential Mortgage Lending, based on international best practices in mortgage lending.

The signing of the loan agreement took place today at the EBRD's headquarters in London, with the agreement being signed by Francis Malige, the EBRD's Managing Director for Financial Institutions, and Ana Golubović and Gojko Maksimović from Hipotekarna Banka Podgorica.

Francis Malige said: "We are pleased to be supporting Hipotekarna Banka Podgorica with this €10 million loan, which underscores the EBRD's commitment to expanding access to long-term mortgage financing. This funding will not only enhance the bank's capacity to serve private individuals seeking housing loans, but also foster greater stability and resilience within the local mortgage market."

Ana Golubović added: "To address the financial needs of our clients, Hipotekarna Banka has secured long-term funding through a credit line agreement with its longstanding partner the EBRD. This partnership enables us to introduce a high-quality credit line tailored to the retail sector. Housing loans issued as part of this offering will create additional opportunities for our clients and further diversify our range of credit products. We would like to express our gratitude to the EBRD for its continued cooperation, and we are confident that we will provide effective solutions to our clients' housing needs."

Hipotekarna Banka Podgorica is a longstanding client and the second largest bank in Montenegro in terms of its share of total assets and deposits in the market. This EBRD credit line will help the bank to add mortgage loans to its range of products.

Since Montenegro joined the EBRD in 2006, the Bank has invested almost €900 million in 92 projects in the country. The Bank's priorities for Montenegro are competitiveness, the green transition and further integration into regional and global markets.