BAKU, Azerbaijan, June 5. The European Bank for
Reconstruction and Development (EBRD), in partnership with the
European Union (EU), is providing a loan of up to 15 million euros
to Erste Bank in Serbia to support green investments by small and
medium-sized enterprises (SMEs), Trend reports via EBRD’s latest reports.

According to information, the loan is being extended under the
SME Go Green program, co-funded by the EU through the Western
Balkans Investment Framework

Erste Bank Serbia will lend the funds on to SMEs in the country
that are looking to invest in energy- and resource-efficient green
technologies with a view to making their operations more
sustainable and competitive, in line with the EU’s green
agenda.

Although all funds will support investments in green
technologies, the credit line will have a particular focus on
investments in agriculture and agribusiness, supporting the
greening of the region’s agriculture and agribusiness value chains.
It will also aim to support women-led SMEs, helping to make access
to climate finance more equitable for women entrepreneurs in
recognition of their key role as early adopters of green
technologies and sustainable business practices.

On successful completion of their investment projects, SMEs will
be eligible for an EU grant equal to 10 percent of the loan amount,
with a higher figure of 15 percent for investments in renewable
energy and the agribusiness value chain. In addition to such grant
incentives, SMEs will also benefit from EU-funded technical
assistance, helping them to prioritize their investments and
structure them accordingly.

Aleksandra Vukosavljević, the EBRD’s Director of Financial
Institutions for the Western Balkans and Eastern Europe, said:

“We are pleased to offer structured financing to Serbian small
businesses to support them in the greening of their companies in
cooperation with our longstanding partner Erste Bank. This program
aims to encourage businesses to invest in green technologies, which
will make them not only more productive, but also more competitive
in EU markets, by aligning them with EU climate and environmental
standards.”

Jasna Terzić, President of the Executive Board of Erste Bank
Serbia, said:

“At Erste Bank, we believe that a greener future starts with
supporting those who build it every day – our small businesses.
Thanks to this partnership with the EBRD and the European Union, we
will be able to help domestic companies invest in energy-efficient
and sustainable technologies. It is particularly important to us
that a significant portion of the funds will be directed towards
agriculture and women-led businesses, where positive changes can
have a strong and lasting impact. For us, this is not just
financing, but investing in progress that is inclusive, responsible
and beneficial for our economy, community and environment.”

The EBRD is a leading institutional investor in Serbia, having
invested more than 10 billion euros through 376 projects to date,
the majority of which have supported the private sector. The Bank’s
focus in Serbia is on boosting private-sector competitiveness, the
transition to green energy and sustainable infrastructure.