EBRD lending 15 mln euro to OTP Bank Moldova to support MSMEs

The project will enable OTP Bank to continue supporting MSMEs in upgrading their technology and equipment necessary to meet EU standards, to boost competitiveness and support export potential, the EBRD said in a press release.

At least 70% of the loan provided under the EU4Business-EBRD Credit line is expected to finance investments in green technologies.

"Small businesses are the backbone of the Moldovan economy and supporting them is vital to secure sustained economic growth despite the negative impact of war in the neighbouring Ukraine. Investments in equipment upgrades and energy efficiency are critical for their competitiveness and help minimise the negative impacts of the war and record high energy prices," the bank added.

Moldova was granted European Union candidate status in June. The new financing will certainly contribute to achieving the EU Economic and Investment Plan target to support 50,000 MSMEs in Moldova, the EBRD noted.

OTP Bank Moldova ranked third in Moldova in terms of total assets at the end of October, according to data from the Moldovan central bank. OTP Bank Moldova is 98.3% owned by Hungary's OTP Bank.

($= 0.9468 euro)