Signature(s)
Summary sheet
- Credit lines - Credit lines
The loan would be a part of the Serbian Governmental support programme for small and medium-sized enterprises (SMEs) and mid-caps impacted by the COVID-19 crisis. The loan would be dedicated to investments as well as working capital support to private entities.
This facility is part of the EIB's economic response to the COVID-19 pandemic and contributes to the EUR 1.7 billion EIB financial support package in the Western Balkans region. The loan aims at mobilising funding resources to mitigate the impact of the COVID-19 crisis in Serbia by financing small/medium projects carried out by small and medium-sized enterprises.
The
pandemic has exacerbated the known difficulties that the SMEs and Midcaps
experience in accessing cost-effective, long-term finance. These difficulties
arise from the small scale of activities and uncertainties in the markets
leading to lower rates of return and higher risk of failure. The EIB loan will
help the SMEs/Midcaps to alleviate the immediate negative effects of the
pandemic by offering working capital finance, strengthen competitiveness and
build-up of future resilience through financing small-scale investments in
several sectors. The availability of EIB longer term financing with customized terms will contribute to the Serbian Government program of financial support to those small entities, while also having a strong impact on employment retention. This loan is part of the EIB response to the COVID-19 pandemic in the Western Balkans and included in the Team Europe initiative launched by the Commission.
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
This operation is covered by the ELM Guarantee.