Top European bank, EU launch crediting line worth ten million euros for Moldovan small-, medium-sized enterprises

Chisinau, 05 April /MOLDPRES/ – The European Bank for Reconstruction and Development (EBRD) and the European Union (EU) launched today a credit line worth 10 million euros through Mobiasbanca – Groupe Societe Generale support small and medium-sized enterprises (SME) in Moldova.

The crediting line EU4Business-EBRD will support SME investment to enhance product quality and to modernize services in accordance with EU standards.

"A successful private sector is the cornerstone of economic development in Moldova and by means of this new credit line, EBRD continues to support local business. This credit line, as well as that much appreciated support from the EU will help in improving standards and services so that businesses can harness the new opportunities offered by the Deep and Comprehensive Free Trade Area (DCFTA)," said Dimitri Gvindadze, head of the EBRD office in Chisinau.

Head of EU Delegation in Moldova, Pirkka Tapiola determined the SME sector as underdeveloped in Moldova, and that that support contributed to its evolution. "This credit line is fantastic in this regard, which brings money to be very important and allow business development. At the same time, it provides technical assistance, consulting and assistance in developing business projects," said the European official.

The funding throughout Mobiasbanca – Groupe Société Générale marks the first transaction of EBRD-EU program, where EBRD cooperates with local banks to assist companies to invest in improving product quality and services.

"Along 20 years of experience we have proved that we are loyal partners of European bank. We have had 13 credit lines opened by EBRD through our institution," said commercial director of Moldovan bank, Elena Guzun. She added that the credit agreement, released today, was signed in early December 2016.

Loans can obtain businesses with at least 250 employees and a turnover not exceeding 50 million euros. They may be granted for equipment, trucks, industrial buildings and others. The maximum amount of credit may be up to 3 million, and EBRD may provide up to 15 per cent grant component, said Elena Guzun.

EBRD is the largest institutional investor in Moldova, with an investment of 1.1 billion euros in 110 projects in the financial sector, food industry, infrastructure, energy and manufacturing sector.

(Reporter V. Bercu, editor L. Alcaza)