geo/romania
Washington, D.C., August 6th, 2019 – Alpha Bank Romania became the newest member of the SME Finance Forum, a global membership network that brings together financial institutions, technology companies, and development finance institu
First foreign bank established in Romania in 1994, it has developed organically as an universal bank offering a wide range of services and products, both for individuals and for SMEs & corporate sector.
IFC and Garanti Bank Romania launched a joint report highlighting the importance and impact of increasing access to finance for the country’s women entrepreneurs. “Taking Women Entrepreneurs to the Bank in Romania”, shows the impact of Garanti Bank Romania’s Women SME Banking Program.
SME Finance Forum member, The European Investment Bank (EIB), is lending EUR 22.3m to Garanti Bank Romania to support businesses in Romania. EUR 5m of the loan amount is devoted to female entrepreneurs, matched by another EUR 5m from Garanti Bank. This transaction is backed by the European Fund for Strategic Investments (EFSI), the financial pillar of the Investment Plan for Europe, or "Juncker Plan".
The European Investment Fund (EIF), part of the European Investment Bank Group, signed three additional SME Initiative guarantee transactions with BRD-Groupe Société Générale, with ING Bank (Bucharest Branch) and Libra Internet Bank acting as partners. The agreements with the three banks aim to facilitate access to finance for Romanian SMEs by providing a 60% guarantee on each loan and by lowering the interest rates charged by banks. These transactions are expected to benefit around 300 SMEs and start-ups in need of finance.
The European Investment Fund (EIF) has signed new Joint European Resources for Micro to Medium Enterprises (JEREMIE) agreements with four banks in Romania, namely Banca Transilvania, BRD – Groupe Societe Generale, ProCredit Bank and Raiffeisen Bank.
Via the new agreements, signed under the new Portfolio Risk Sharing Loan instrument, the SMEs will have access to loans for investments and working capital totalling EUR 120 million, with significantly lower interest rates and reduced collateral requirements.
