EBRD and Banca Intesa sign financing package of €72 million

The European Bank for Reconstruction and Development (EBRD) has signed a financing package of €72 million with Banca Intesa, part of Intesa Sanpolo group, that aims to boost the competitiveness and trade potential of businesses in Serbia, as well as further the country's green transition and promote financial inclusion.

The package includes three financing facilities: a new risk-sharing framework; a loan under the SME Go Green Programme co-funded by the European Union; and a senior loan under the Western Balkans Women in Business programme.

Banca Intesa will be the first Serbian bank to benefit from a new risk-sharing framework of up to €50 million. The framework is designed to allow the EBRD to share partner banks' exposure to local large or small and medium-sized enterprises (SMEs) through an unfunded risk participation.

The EBRD will guarantee up to 65 per cent of each individual sub-loan that Banca Intesa provides its eligible clients. The Bank's commitment under the agreement could reach up to €50 million.

The €15 million loan signed under the SME Go Green Programme will be used to provide sub-loans to eligible SMEs in Serbia. They will then use the funds to invest in sustainability practices; adopt internationally recognised quality standards; scale up green economy investments (in particular, to 'green' agribusiness supply chains); and promote more equitable access to climate finance and other finance for women-led SMEs. Banca Intesa will aim to deliver 70 per cent of the proceeds to projects eligible under the Green Economy Transition (GET) initiative.

The senior loan of up to €7 million is for on-lending to eligible women-led SMEs in line with the criteria under the second phase of the Western Balkans Women in Business programme. This is the seventh consecutive loan to Banca Intesa under this programme following the success of the previous facilities. The loan will contribute to women's economic inclusion by helping women-led SMEs to access finance and business advisory services.