July 8 (SeeNews) - Montenegro's government has approved borrowing 50 million euro ($56.1 million) from the European Investment Bank (EIB) to support local small and medium-sized enterprises (SMEs), it said.
The financing represents the second tranche of a 150 million euro credit to the Investment and Development Fund of Montenegro (IRF) approved by the EIB in July 2018, the Montenegrin government said in a statement on Friday.
The first tranche of 100 million euro was extended by EIB last year, the government said.
At least 70% of the funds will be allocated to micro, small and medium-sized enterprises as the backbone of the development of Montenegro's economy, while up to 30% will be intended for medium-sized enterprises and infrastructure projects, the Montenegrin government added.
IRF was established by the Montenegrin government in 2009 with the purpose of encouraging and facilitating the country's economic development.
($ = 0.8906 euro)