Companies and municipalities in Serbia affected by the corona virus pandemic will be able to use 75 million euros in loans thanks to an agreement signed by the European Bank for Reconstruction and Development (EBRD) and UniCredit Bank.
The financing will refer to the liquidity needs of companies and municipalities in Serbia, after a sharp slowdown in economic activities due to the introduction of health measures at the beginning of the year to prevent the spread of the virus. Namely, as a consequence, many companies experienced a decline in turnover and profitability, which led to delays in payments and increased demand for liquidity.
The EBRD has responded to these needs by strengthening its support for the six economies of the Western Balkans, and now expects to allocate up to 1.7 billion euros in 2020 alone to overcome the impact of the pandemic on the economy.
UniCredit Bank Serbia is the second largest bank when it comes to lending and a long-term partner of the EBRD. In addition to supporting small and medium enterprises, the two banks also cooperate in the field of leasing, green financing and others.
Zsuzsanna Hargitai, Director of the EBRD Regional Office for the Western Balkans, said: “I am very proud that today we have joined forces with our partner UniCredit Bank to overcome the impact of the corona virus pandemic. The task of restarting the economy has begun. He will not be less challenging, but we would like to assure everyone that the EBRD is ready to act and help.”
Feza Tan, President of the Executive Board of UniCredit Bank, said: “Our long-standing partnership with the EBRD is expanding with a new agreement and we are proud to continue to jointly support the Serbian economy. Now, more than ever before, it is important that all market participants contribute to overcoming the consequences caused by the pandemic. As one of the leading banks, we have the responsibility and strength to continue to actively support the country’s development,” BizLife reports.
