The Council of Europe Development Bank (CEB) has sanctioned loans totaling €1.3 billion for 11 member countries, including Serbia and Bosnia and Herzegovina, announced in Strasbourg.
Governor Carlo Monticelli specified that the loans aim to foster investments in microfinance, healthcare, education, and post-disaster reconstruction. A notable portion of the funding will aid Ukraine in accommodating its population displaced by conflict.
Beneficiary countries of this financial package also comprise Finland, France, Germany, Iceland, Poland, Slovakia, Spain, and Turkey.
“Today’s approved loans will finance a variety of social sector investments ranging from microfinance to healthcare, education, and disaster recovery efforts,” Monticelli elaborated.
For Serbia, the CEB highlighted a €6 million loan to 3Bank joint stock company in Novi Sad, intended to bolster rural enterprises and farmers in remote areas, addressing microfinance shortfalls in the country.
3Bank, a new loan recipient for CEB, is dedicated to providing financial and advisory services to those overlooked or financially excluded by conventional banks. The loan targets small farmers, underfunded micro-entrepreneurs, independent women entrepreneurs, startups, and small traders.
The CEB’s financing aims to bridge crucial gaps in Serbia’s microfinance sector, essential for business growth, job creation, and inclusive development. Addressing issues like emigration and brain drain resulting from limited self-employment opportunities and lower living standards, the CEB loan is said to offer significant social value.
Conclusively, the CEB’s investment underscores its commitment to social sectors, including education, healthcare, and affordable housing, focusing on the needs of the vulnerable, with governments, local and regional authorities, public and private banks, and non-profit organizations as potential beneficiaries.
Photo: coe.int