EIB Lends 30 Mln Euro to Support SME Projects in Montenegro

The loan will support investments in the areas of environmental protection, rational use of energy, industry and services, including tourism, as well as projects helping to upgrade local and regional infrastructure, EIB said in a statement.

This is the first such EIB loan for the Adriatic country and the first EIB line of credit provided to a partner financing institution in Montenegro, which is the local unit of Austria’s Hypo Alpe-Adria-Bank, the statement added.

EIB financing helps Montenegro meet the European Union accession criteria and supports the economic development of the country. Montenegro's prospects of joining the EU were boosted in October 2007 when the country signed a Stabilisation and Association Agreement (SAA) with the bloc. The Adriatic republic decided in a 2006 referendum to restore its independence and broke off its loose union with Serbia that replaced rump Yugoslavia in 2001.

Since 2000, the EIB has provided some 80 million euro to Montenegro for transport and energy projects. The EIB is expected to further provide a total of some 160 million euro for these sectors and for environmental protection in the country over the next few years.

($=0.7123 euro)