EFSE and BPB to support rural entrepreneurs in Kosovo
EUR 4 million senior loan dedicated to increase lending to MSMEs and agricultural sector
Luxembourg and Prishtina, [28.10.2015] – The European Fund for Southeast Europe (EFSE) and Banka për Biznes (BPB) are teaming up to support rural entrepreneurs in Kosovo. The EUR 4 million loan which the Fund is providing will enable BPB to offer a larger number of long-term loans to the EFSE’s target group of micro and small enterprises (MSEs) and particularly to those engaged in agriculture. “Kosovo remains an important country of operation for the EFSE, so we are pleased to increase our engagement through our partnership with BPB,” says Monika Beck, Chairperson of the Board of EFSE. “BPB and EFSE are a very good fit as we both share the belief in the importance of the agricultural sector for economic development.” BPB as a local bank seeks to expand its market in rural areas. “We believe that we can help the economic development of this market by offering tailor-made products and by raising awareness of the advantages of rural banking in general,“ says Richard Beasley, Chief Executive Officer of BPB.
About the European Fund for Southeast Europe
The European Fund for Southeast Europe (EFSE) was initiated by KfW Development Bank (KfW) with the financial support of the German Federal Ministry for Economic Cooperation and Development (BMZ) and the European Commission. It aims to foster economic development and prosperity in Albania, Armenia, Azerbaijan, Belarus, Bosnia and Herzegovina, Bulgaria, Croatia, former Yugoslav Republic of Macedonia, Kosovo, Georgia, Moldova, Montenegro, Romania, Serbia, Ukraine and Turkey. As access to finance is a key success factor in developing the micro, small and medium enterprise segments, the EFSE focuses on assisting local financial sectors in strengthening their ability to ensure adequate and sustainable financing. The funding the EFSE provides as long-term finance primarily for micro and small enterprises (MSEs) – but also for private households in the form of home improvement loans – is channelled to these loan customers through local partner lending institutions. Supporting the EFSE’s investment activities is the EFSE Development Facility, which provides partner lending institutions with technical assistance, consulting and training services to build operational capacities and professional management. Initiated by KfW Development Bank (KfW) on 15 December 2005 from four multi-donor programs under its management, the EFSE is the first public-private partnership of its kind and the first privately managed fund in development finance to leverage private funding for MSE finance in the target region. Capital is provided by donor agencies, international financial institutions and private institutional investors, including the German Federal Ministry for Economic Cooperation and Development (BMZ), the European Commission (EC), the Government of Albania, Small and Medium Business Credit Support CJSC (SMBCS), a subsidiary of the Central Bank of Armenia, the Development Bank of Austria (Oesterreichische Entwicklungsbank – OeEB), the Swiss Agency for Development and Cooperation (SDC), the Danish International Development Agency (Danida), KfW as Lead Investor, the International Finance Corporation (IFC), the Netherlands Finance Company (FMO), the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), Sal. Oppenheim and Deutsche Bank. Oppenheim Asset Management Services S.à r.l., Luxembourg, and Finance in Motion GmbH, Germany, are, respectively, the EFSE’s Fund Manager and Fund Advisor. For more information about the European Fund for Southeast Europe, please visit: www.efse.lu
About BPB
BPB is a licensed local commercial bank operating in Kosovo since 2001. Since its establishment, BPB has been experiencing consistent growth and is striving to continuously improve its customer support. BPB offers a wide range of products and services specially designed to support the diverse needs of individuals, small and medium enterprises, and corporations. The strategic goal is to support the development of Kosovo’s economy and businesses by creating sound and long-term relations based on mutual trust with BPB customers. Besides helping the country’s economic development, the growth and expansion of small and medium enterprises also enables BPB, as their strategic partner, to create opportunities for promotion and long-term stability of the local capital. By providing quality services that are simple to use and affordable, BPB also supports families, employees and students in realising their plans and fulfilling their needs.
