• EUR 25 million loan will support financing small and medium enterprises in the country
• The loan is also intended for young population as a support in creation of jobs in all sectors of the economy
The European Investment Bank (EIB) agreed providing a loan of EUR 25 million to Raiffeisen LEASING doo Sarajevo as a support in financing small and medium enterprises (SME) in the country. An agreement on disbursement of the first tranche of EUR 15 million was signed today in Sarajevo by Mr. Karlheinz Dobnigg, Chairman of the Management Board of Raiffeisen BANK dd Bosna i Hercegovina and Mr. Matteo Rivellini, Head of Division at EIB in charge of Western Balkans, Croatia and Slovenia.
“I am pleased that by signing this agreement we continue our long-standing successful cooperation between Raiffeisen Group and the European Investment Bank. The agreed transaction of EUR 25 million will enable financing not only significant investment projects in the country but also small and medium scale projects that are crucial for economic growth. This credit line will support the projects in the fields of environment protection, industry, health and education, which also reflects our sustainability strategy. We are committed to sustainable entrepreneurship as well as economic success by providing framework of sustainable financing“, Mr. Dobnigg said.
On this occasion, Mr. Rivellini said: “It is my pleasure that I signed today a loan agreement which supports local small and medium entrepreneurs and creation of new jobs in Bosnia and Herzegovina. This loan will also sustain employment of young people in the country thus addressing root causes of potential youth migration. This is the fourth credit line we have signed with Raiffeisen LEASING doo Sarajevo, building on a very successful cooperation developed over the years between EIB and Raiffeisen Group in the country and the Western Balkans region. The signature comes at a pivotal time for the EIB's commitment to Bosnia and Herzegovina. Starting from January 2019, the EIB will place one Desk Office in Sarajevo to further enhance the European support to Bosnia and Herzegovina and foster growth, cohesion and connectivity in the country and the whole region.“
The cooperation between EIB and Raiffeisen Group in B&H dates back to 2005. Since then, the EIB has provided six loans to Raiffeisen Group in B&H in the total amount of EUR 130 million. The EIB has supported lending to SMEs in the country through numerous local banks in the overall amount of EUR 710 million under favourable conditions. This support remains crucial in helping SMEs and medium capitalised companies (MidCaps) withstand challenging financial and economic circumstances in the region. Since the beginning of its activities in Bosnia and Herzegovina, the EIB has provided over EUR 2.4 billion financing across the sectors of the economy, especially supporting investments in the transport and SME sectors, but also those in water and sewage, energy and health.