You have 10 free articles left this month. Get your freeBasic subscription now and gain instant access to more.

EFSE provides 10 mln euro loan to UniCredit Serbia to back homeowners

Author Radomir Ralev
EFSE provides 10 mln euro loan to UniCredit Serbia to back homeowners Author: SeeNews. License: All rights reserved.

BELGRADE (Serbia), May 20 (SeeNews) -  The European Fund for Southeast Europe (EFSE) has provided a senior 10 million euro ($11.2 million) loan to UniCredit Bank Serbia to expand access to financing for homeowners in the country, the fund said on Monday.

The EFSE funding will enable the bank to expand its ability to offer financing options suited to the needs of lower to middle-income households, EFSE said in a statement.

"EFSE aims to promote prosperity by providing the means for growth and increased quality of life for those who may otherwise have difficulty accessing affordable financing. UniCredit has been a strong partner in this endeavour since 2013, helping us reach a broad base of hopeful young homeowners seeking to lay the foundations for their future," EFSE board chairman Christoph Tiskens said.

UniCredit, the second-largest bank in Serbia, is also a leading provider of housing finance, with 85% of its housing clients as first-time homeowners. The bank’s extensive network of 72 branches across the country particularly allows it to serve less-developed areas with loan products tailored to lower to middle-income households, EFSE noted.

"Solving the living space issue certainly represents one of the priorities of both individuals and families in Serbia. The EFSE credit line, in addition to enabling us to expand access to financing for first-time homeowners, will also support our growth in this market segment," Radoje Radovanovic, head of UniCredit Bank’s retail division, stated.

EFSE was initiated by German development bank KfW with the financial support of the German Federal Ministry for Economic Cooperation and Development (BMZ) and the European Commission. It aims to foster economic development and prosperity in Albania, Armenia, Azerbaijan, Belarus, Bosnia, Bulgaria, Croatia, Macedonia, Kosovo, Georgia, Moldova, Montenegro, Romania, Serbia, Ukraine and Turkey.

($ = 0.895916 euro)