Sitemap

EIB Provides €30 Million To UniCredit Bank Serbia For Serbian SMEs

More...

Agreement On Normalisation Of Economic Relations Between Belgrade And Pristina Signed

President of Serbia Aleksandar Vucic and Prime...

Montenegro

Montenegro Election: First Projections Point To A Tight Race

In Montenegro, the ruling DPS was nearly...

Apatin Brewery Appealing For Responsible Alcohol Consumption

Within the ‘When I drink I don’t...

EU Awards One Million EUR In Grants For COVID Recovery In Tourism Sector

“#EUzaTebe – For Cultural Heritage and Tourism”...

News

Agreement On Normalisation Of Economic Relations Between Belgrade And Pristina Signed

President of Serbia Aleksandar Vucic and Prime Minister of the Provisional Institutions of Kosovo Avdullah Hoti signed an Agreement...

Montenegro Election: First Projections Point To A Tight Race

In Montenegro, the ruling DPS was nearly neck-and-neck with its main rivals, according to early and incomplete projections of...

EU Awards One Million EUR In Grants For COVID Recovery In Tourism Sector

“#EUzaTebe – For Cultural Heritage and Tourism” project has awarded one million euros for 120 projects aimed at supporting...

UNDP And Embassy Of Slovakia Present Feasibility Study On Use Of Thermosolar Energy

The Mayor of Belgrade, Zoran Radojičić, met with the Ambassador of Slovakia to Serbia, H.E. Fedor Rosocha and Resident...

The EU Does Not Recognize Belarus Election Results

Members of the European Council held a video conference, at which they discussed the situation after the presidential elections...

• The first impact finance loan for Serbian SMEs
• This highly innovative EIB operation aims to support employment, sustainable and inclusive development and economic resilience
• The funds will be available to companies committed to improving their businesses’ positive social impact

The European Investment Bank (EIB) and UniCredit Bank Srbija A.D. (UCBS) have signed the first €15 million tranches of an innovative €30 million impact finance loan to help Serbian small, medium and mid-cap companies to improve the social impact of their businesses in areas such as gender equality, youth employment and social inclusion.

The loan from the EU bank is being complemented by a €4 million grant provided under the EIB’s Economic Resilience Initiative (ERI). The grant will reward companies that meet specific targets to foster women’s employment and entrepreneurship, youth employment and professional development as well as the social inclusion of underserved or vulnerable demographic groups (e.g. minorities, people with disabilities, refugees, etc.) who often face additional barriers to entry in the job market. Under the scheme, a set of social impact goals will be agreed with the companies that borrow the EIB funds through UCBS and a financial reward will be distributed to those who meet such targets, encouraging them to include and support employees from more vulnerable groups and ensure their training and long-term retention.

This is the first EIB private sector loan under the ERI in the Western Balkans, contributing to the overarching objectives of promoting sustainable growth and supporting economic resilience. The EIB will also provide technical support for the preparation and implementation of the projects, helping to achieve the intended social impact objectives. 

On this occasion, President of the EIB Werner Hoyer stated: “We are delighted to support the introduction of innovative financial mechanisms in Serbia to support faster economic development in the country. This loan marks the beginning of a new way of lending to SMEs with far-reaching benefits for social development and the inclusion of people from the most vulnerable groups in the job market. It awards those SMEs who want to grow in a sustainable and inclusive way and allows even more people to benefit from economic development. This is a new chapter in our decades-long support for SMEs, economic and social growth, and the regional and EU integration of Serbia, and is a reaffirmation of our commitment to help Serbia develop faster.”

Jean Pierre Mustier, Chief Executive Officer of UniCredit S.p.A., said: “To do well, we also have to do good. At UniCredit, all our actions are guided by clear value, such as the importance of actively supporting our communities. Thanks to our Social Impact Banking initiative we make investments that have a positive impact on society. The EIB agreement, signed today, will allow us to further support the small and medium businesses that make up the foundation of the Serbian economy and that will support the country’s future growth.”

This operation, focusing on the private sector, will generate superior developmental impact than conventional operations. This will be possible through the combination of ERI funds, European Commission support and the EIB funds and expertise in this sector. This deal reaffirms our commitment to the Western Balkans as well as our leading financier role within Team Europe. It will be a blueprint for future operations led by our ambitions in the impact finance business.

Vice-President of the EIB, Dario Scannapieco, said: “The EIB is proud to introduce this new innovative loan to Serbia which will help companies provide employment opportunities to more vulnerable groups, for both inclusion and sustainable development. Retaining jobs and liquidity is essential to enhancing growth in the post-COVID-19 phase and the EIB will continue to upscale its support to make sure Serbia recovers as quickly as possible, continuing its path towards full membership to the European Union. This performance-based incentive loan is significant for the EIB as it makes it possible to enhance the socio-economic impact and reward the best business practices in the private sector, supporting the change Serbia can benefit from.”

CEO of UniCredit Bank Srbija A.D., Feza Tan, stated: “We are very proud that European Investment Bank has recognised all the efforts of UniCredit Bank in developing a fairer and inclusive society. Being the first bank in the Western Balkans to sign a loan agreement under European Resilience Initiative carries with it a great responsibility. We want to be a driver and facilitator of change in order to improve our society. This cooperation will enable us to support companies with a strong social mission in their efforts to tackle both hard to employ and vulnerable categories. In this way, together, we will develop a more equitable and sustainable society.”

In the last 10 years alone (2009-2019), the EIB has invested €1.87 billion into the private sector in Serbia, supporting over 11 000 companies and retaining over 320 000 jobs.

Related Articles

EU announced over €3.3 billion of support for the Western Balkans

EU reinforces support for the Western Balkans to address COVID-19 crisis and outlines proposal for post-pandemic recovery   The European Commission announced over €3.3 billion of...

Italian companies in Serbia help local communities, institutions and citizens

Italian companies in Serbia, members of Confindustria, the Italian business association in Serbia, help local communities, institutions and citizens of Serbia during the pandemic...

EIB Group contributes € 5.2 billion to EU response to COVID-19 outside the EU

The European Investment Bank Group, the bank of the European Union, today announced details of a comprehensive response to the coronavirus pandemic outside the...

EUR 50 million from EIB to Crédit Agricole Srbija to support local companies and projects

• First EUR 30m tranche of an approved EUR 50m credit line signed today; • Credit Agricole Srbija aims to finance manufacturing and agricultural businesses...

EIB helps to improve sanitation and sewerage systems in Belgrade

• The EIB has signed a EUR 35m loan to finance the sewerage system of the City of Belgrade, improving living conditions for 170...

NALED Traditional September Gathering

NALED bid farewell to the summer and launched the new season of reforms with the traditional September Gathering held at the White Palace. The reception...

EBRD lends €160 million to UniCredit Bank Serbia

• €100 million EBRD loan for on-lending to small businesses in Serbia • EBRD loan includes €35 million local currency loan to boost local currency...

EIB signed EUR 100m loan to finance construction of Niš and Merdare highway

• The EU Bank has signed a EUR 100m loan to finance the construction of the new highway linking Niš and Merdare • The project...