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Monday, June 26, 2017

EFSE receives $33.73 million from the European Bank for Reconstruction

The European Fund for Southeast Europe recently signed an agreement with the European Bank for Reconstruction and Development to provide EFSE with additional funding of $33.73 million.

The fund will help facilitate more than 4,000 new loans to micro and small enterprises in South Eastern Europe and the European Eastern Neighborhood Region.

"This investment in the future reinforces EFSE's ability to ensure stable and reliable funding to existing and future partner lending institutions," Monika Beck, the chairperson of the board of EFSE, said. "Thanks to the EBRD's additional commitment, we can proceed with planning future investments and therefore optimize the development impact of the Fund."

The EFSE will be able to foster economic development in the target region using EUR as well as USD. In total, the fund has committed capital of $1.3 billion.

"We are pleased to continue and deepen our successful cooperation with EFSE with this new investment. We have been very impressed by the progress which has been achieved both with respect to the quality of EFSE's portfolio and its continuing efforts to mobilize additional private sector funding. We are fully committed to further support these activities which play a crucial role for businesses and people in the region," Henry E. Russell, the director of Belarus, Moldova and Ukraine at the EBRD Financial Institutions Group, said.