BRDH Credit for Kosovo ProCredit Bank for Business Support

Small and medium-sized companies (NVM) in Kosovo will be able to improve their competitiveness with the help of the financial package given to the ProCredit Bank in Kosovo by the EU and EU.

This package combines the EURZH loan of $20 million with investment grants provided by the EU under the EU Instrument for Pre-member Assistance, from the regional programme for Enterprise Development and Innovation in the Western Balkans, as well as the Special Fund of EURZH Directors.

NVMs make up the main pillar of Kosovo's economy. They are also key market segment for the ProCredit Bank in Kosovo, founded in 1999 and market leaders today. Those who receive loans under this programme will be able to invest in improving their production lines and improving the quality of products, environmental protection and safety of workers in line with EU standards.

Despite their dominant position in Kosovo's economy, small local businesses often suffer from lack of competitiveness and access to finance. This is being addressed by the EURZH Programme for Support of NVM Competition of the Western Balkans, under which this funding is being provided to the Procredit Bank in Kosovo. A combination of long-term financing, technical assistance and investment incentives constitute the package designed to help demonstrate the country's full potential.

The signing of today's contract reflects the principles and common commitment of the two institutions to promoting economic growth and employment by supporting small- and medium-sized enterprises in Kosovo” said Ilir Aliu, chief executive head of Procredit Bank in Kosovo.

Bank is the main funding provider for NVMs in Kosovo and is seeing an increase in demand for its credit services. It is fully owned by ProCredit Holding AG & Co KGA, the procredit group's mother company, which is oriented towards development, which consists of commercial banks for small- and medium-sized enterprises (NVM) whose operational focus is on Southeast and Eastern Europe.

Zsuzsanna Hargitai, Regional Director of the EURZH for the Western Balkans, added: “We are very pleased to be signing this new agreement with the Procredit Bank in Kosovo, long-term local economy partners. We believe that combining commercial loans with grants will improve the access of small businesses to finances that are very necessary. This will give a boost to furthering their performance. ”

Louis Bruda, Head of Department for Co-operation, EU/ The SPBE in Kosovo added: “I am very happy to announce to you a completely new opportunity of co-operation for Kosovo's NVM under the Instrument for Pre-Accession (IPA). The EU is and will continue to be the donor, investor and biggest trade partner in Kosovo. At the moment there are two EU-funded programmes with a total amount of $10 million aimed at supporting NVMs to increase and improve their production capacities, improve the processes and quality of products. ”

BELZH began investing in Kosovo in 1999. To date, the Bank has signed 63 projects in the country with a business emulation volume of $362 million. Kosovo has become a member of the EURZH and the location of operations in December 2012.