EBRD lends credit lines of 10 million euros through two banks in Moldova

Chisinau, 17 April /MOLDPRES/- The European Bank for Reconstruction and Development (EBRD) will open through commercial banks Moldova Agroindbank and Victoriabank financing lines amounting to 5 million euros for development of small and medium-sized enterprises (SMEs) and their alignment with European standards. Loan agreements were signed in Chisinau today.

The money will be provided from EU4Business-EBRD Line, a joint EBRD-EU program for small and medium-sized enterprises in Georgia, Moldova and Ukraine, countries that have signed the Association Agreement with the European Union. The programme aims to support enterprises to invest in improving product quality and upgrading services to meet EU standards, which will consequently encourage the development of a favourable environment for cross-border trade, job creation and economic growth in Moldova.

“Today we are opening a new chapter in the development of Moldova's banking sector, a chapter where key actors are transparent and respecting the highest standards of corporate governance, "said Henry Russell, EBRD Director for Western Balkans, Belarus, Moldova and Ukraine. He pointed out that an important step was reached, in which “Moldovan banks are restoring and returning to their normal business activities, so we can give them loans they can finance the real economy, finance SMEs, which is a very important thing.”

Head of the European Union Delegation to Moldova Peter Michalko noted that EU assistance for the implementation of the Free Trade Agreement is "complex, from the review of the political, legal and regulatory framework to capacity building and financing of small and medium enterprises. The European Union is ready to work with those in the Republic of Moldova supporting the reform process which is based on the Association Agreement. "

Chairman of the Management Board of Moldova Agroindbank Sergiu Cebotari said that 90 percent of all Moldovan enterprises are SMEs and that a large part of them are clients of Moldova Agroindbank, so "this is more than welcome to this project”.

"Transilvania Bank is known in Romania as the SME bank. We are here in Moldova to replicate this model and to offer as many products as possible, as much as possible for the development of small and medium-sized enterprises, "Bogban Pleşuvescu, chairman of Victoriabank's Management Committee, said. He added that the know-how from Transilvania Bank "will help us very much use the EBRD funds in a way to help our customers."

SMEs will be able to access loans of up to 3 million euros for up to 4 years and more, at a market rate of interest.