EBRD, EU Join Forces To Enhance Access To Finance For Albanian Smes

(MENAFN- Trend News Agency) BAKU, Azerbaijan, January 18. The European Bank for Reconstruction and Development (EBRD) is enhancing support for small and medium-sized enterprises (SMEs) in Albania with a 5 million euro financing package, in collaboration with Union Bank, the EU, and other international donors, Trend reports.

This initiative includes two key credit lines. The first, a 3 million euro loan under the EU-supported EBRD Go Digital program, will help Albanian SMEs modernize through digitalization, automation, and green technology. This marks the first time the programme has been introduced in the Western Balkans, with at least 60% of funds targeting green projects.

The second loan of 2 million euros is under the EBRD's Youth in Business (YiB) program, designed to empower entrepreneurs under 35. This will improve financial inclusion and offer tailored financing and advisory services to young business owners.

The partnership is backed by the EU's European Fund for Sustainable Development Plus (EFSD+), offering risk cover to facilitate financing. Sweden, Italy, and Luxembourg are also contributing.

Ekaterina Solovova, EBRD Head in Albania, highlighted the importance of fostering digital transformation and youth empowerment in the private sector. EU Ambassador Silvio Gonzato noted that the funding is vital for the competitiveness of SMEs, which employ over 80% of the workforce in Albania.

The EBRD has invested over 2.2 billion euros in Albania to date.

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