EBRD and EU finance Serbian businesses via OTP Banka Serbia
Summary
Financing is for investment support to small and medium-sized enterprises SME Go Green portion of the loan will be supported by EU incentive grantsThe European Bank for Reconstruction and Development (EBRD) is providing 60 million in financing to OTP Banka in Serbia. As part of the financial package, 10 million will be lent through the EBRDs small and medium-sized enterprise (SME) Go Green programme that is supported by the European Union (EU).The financial package will enable OTP Banka to continue supporting local SMEs investments in upgrading their technology and equipment, boosting competitiveness and supporting export potential. The loan will also support Serbias green economy: 50 per cent of the SME loan and 70 per cent of the SME Go Green portion will be on-lent for investments aligned with the EBRDs Green Economy Transition (GET) approach.Upon successful completion of their investment projects, SMEs financed through the SME Go Green programme will be eligible for a cashback grant of 10 per cent of the loan amount, or 15 per cent for investments in renewable energy and the agribusiness value chain. Improving their access to finance is vital for Serbias sustainable and inclusive economic growth, as well as its integration in regional and global markets.OTP Banka Serbia is a longstanding partner of the EBRD, with a strong track record of supporting local SMEs that focus on green transition and sustainability. With 155 branches across its regions, OTP Banka is well positioned to provide financing to businesses beyond Serbias largest cities.To date, the EBRD has invested more than 8.7 billion in Serbia through 342 projects, of which majority supported the private sector.