The European Bank for Reconstruction and Development (EBRD) has provided Erste Bank in Serbia with 5 million euros to support the competitiveness of small and medium-sized enterprises (SMEs) in Serbia.
Funding will help local SMEs reach the best industry standards and implement European Union (EU) directives. The aim of this support is to encourage SMEs to invest in meeting EU standards in three key areas: environmental protection, health and safety and product quality.
SMEs will also have access to advisory services tailored to their needs and expertise to introduce and implement standards and directives to be more competitive in EU markets. Grants of up to 15 percent of the total loan amount upon successful completion of the project will also be available to them. Advisory support and grants are funded by the European Union.
The credit line is part of a broader EBRD-EU initiative, which encourages small and medium-sized enterprises across the Western Balkans to invest in projects that improve their competitiveness in the local and foreign markets.
The program is implemented in cooperation with the Ministry of Economy of the Republic of Serbia. In agreement with the Ministry of Economy, the European Union has approved an additional 10 million euros under the Instrument for Pre-Accession Assistance (IPA) for the EBRD Competitiveness Program for Small and Medium-Sized Enterprises in our country.
Aleksandra Vukosavljevic, EBRD Director for Financial Institutions for the Western Balkans and Eastern Europe, said: “We are very pleased that together with our long-term partner Erste Bank we provide greater support to small and medium enterprises in Serbia. The new funding will make it easier for them to access well-structured finance, helping them become more competitive and enabling them to better integrate into regional and European value chains.”
Slavko Caric, President of the Executive Board of Erste Bank stated: “Small and medium enterprises are the driver of economic development and therefore we are very glad that, thanks to the partnership with the European Bank for Reconstruction and Development, we will be able to access them through easier access to finance and improve your business. The funds from this credit line are intended for existing and potential clients who want to harmonize their products and services with the standards of the European Union and implement its directives, which will enable them to be competitive in that market as well.”
Emanuele Giofre, Head of the EU Delegation to Serbia, said: “EU-funded projects in Serbia promote job creation, economic and technological development and the improvement of the legislative framework, all of which contribute to an improved economic environment. Businesses, of course, also benefit from our assistance, and this program is just another proof of that because it strengthens the competitiveness and trade capacity of SMEs through compliance with priority EU directives in the field of environmental protection, health and safety at work, as well as quality standards and product safety. We are pleased to be working with banks to empower businesses and help them access finance,” BiF reports.
