BUCHAREST (Romania), January 31 (SeeNews) – The European Bank for Reconstruction and Development (EBRD) said on Wednesday it is providing a 15 million euro ($18.6 million) loan to Libra Internet Bank for the development of small businesses in Romania.
Libra Internet Bank will use the loan to finance local micro, small and medium-sized enterprises (MSMEs), the EBRD said in a press release.
"Improving access to finance for Romanian micro and small businesses remains a key priority for the EBRD’s work in the country. We are looking forward to the results of this loan as we are aiming to increase the support we provide to local private entrepreneurs in the near future," EBRD Regional Director for Romania and Bulgaria, Matteo Patrone, said.
In EBRD's view, MSMEs are a crucial sector of Romania’s economy in terms of wealth and job creation, and access to finance remains a key obstacle for their development and growth.
"The loan will support Libra Internet Bank to grow its business by expanding its outreach to new clients. We are confident this project will become a good example how an innovative bank meets the demands of innovative enterprises for the creation of real value," EBRD director for EU banks, Lucyna Stańczak-Wuczyńska, said.
Libra Internet Bank Romania, founded in 1996, provides a broad range of products and services with a main focus on SMEs, corporates, agribusiness and professionals.
"We are confident in successfully running our first agreement with the EBRD. It represents a continuation of our efforts to develop innovative and affordable financing products for our clients," Libra Internet Bank general director Emil Bituleanu said.
The EBRD is a leading institutional investor in Romania. It supported 29 projects with 546 million euro of debt and equity investments last year. Of this financing, 93% was provided to the country’s private sector.
($=0.8051 euro)