February 3 (SeeNews) - The European Bank for Reconstruction and Development (EBRD) has launched a 4 million euro ($4.5 million) credit line to Montenegro's Lovcen Banka to support the competitiveness of local small and medium-sized enterprises (SMEs), it said.
The credit line will support the post-pandemic recovery of Montenegro’s economy and strengthen its resilience in the medium and long term, the EBRD said in a statement earlier this week.
"We are glad to begin our partnership with Lovcen Banka and to jointly support Montenegrin businesses. Together, we will be able to assist the recovery and provide financing to the SME sector, as it is the backbone of the Montenegrin economy," said Remon Zakaria, head of the EBRD Office in Montenegro.
The credit line will also play an important role in the implementation of the country’s green agenda, as the EBRD and Lovcen Banka expect that 10% of the allocated funds will be used to finance green investments by SMEs, the EBRD noted.
"With this credit line, we will further help the development of the SME segment in Montenegro and give these businesses even better momentum towards an accelerated recovery, as well as further growth and development, which will be necessary after the Covid-19 pandemic," the chairman of Lovcen Banka's management board, Vinko Nikic, said.
Lovcen Banka operates a network of 15 branches, with 146 employees, managing a loan portfolio of about 185 million euro and assets of some 300 million euro.
($ = 0.8829 euro)