March 24 (SeeNews) - The Green for Growth Fund (GGF) said on Thursday it will extend a senior loan of 5 million euro ($5.5 million) to Bosnia’s MF Banka [BANJ:IEFB] to support energy efficiency and resource efficiency projects.
MF Banka will on-lend the funding to small, and medium enterprises (SMEs) that want to implement energy efficiency and resource efficiency measures, as well as for small scale renewable energy projects, GGF said in a statement.
This financing will be used predominantly to finance energy efficiency measures in manufacturing, specifically wood processing and food processing, construction, as well as transport, GGF added.
"We are proud of this new partnership with MF Banka as we believe it will strengthen our outreach amongst SMEs and corporate clients in Bosnia and Herzegovina, while simultaneously advancing our mission to boost energy efficiency and renewable energy across the region," GGF chairman Olaf Zymelka said in the statement.
MF Banka is controlled by Bosnian microfinance company Mikrofin, which has been a GGF partner since 2018.
As of March 17, Bosnian microfinance company Mikrofin held a 79.19% stake in MF Banka, Dutch development bank FMO - 11.57% and Germany's KfW - 9.24%, bourse data showed.
($ = 0.9103 euro)