Bucharest, Romania, October 22, 2012—IFC,
a member of the World Bank Group, and Patria Credit are partnering to increase
access to finance for micro and small entrepreneurs in Romania, supporting
more equitable growth in the country.
IFC is providing a 36.6 million Romanian
lei ($10.4 million) loan to Patria Credit, Romania’s largest non- banking
microfinance institution reaching more than 12,000 clients in 29 provinces.
This financing is consistent with the World Bank Group’s strategy in Romania
to increase economic growth and competitiveness, reduce poverty and inequality,
and expand growth by providing access to finance for smaller companies
along with low and middle-income households.
“IFC’s support will allow us to increase
financial inclusion and reduce gaps in formal financing for local microenterprises,
many of which are managed by women,” said Bogdan Merfea, Patria’s CEO.
K. Aftab Ahmed, IFC Director for Financial
Markets in Europe, Central Asia, Middle East and North Africa, said, “We
are working with Patria to ensure that finance continues to flow to businesses
and people that need it. Our loan will increase funding to the smaller
companies that generate a large share of growth and employment opportunities
in the country.”
Romania became a member of IFC in 1990.
IFC's investment portfolio in Romania stands at nearly $600 million. IFC’s
role in Romania is changing in light of the country’s EU membership and
the growing availability of private financing. IFC in Romania is focused
on agriculture, general manufacturing, infrastructure, and health. IFC
also invests in the financial markets and works to provide access to finance
for smaller businesses in Romania.
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. We help developing countries achieve sustainable growth
by financing investment, mobilizing capital in international financial
markets, and providing advisory services to businesses and governments.
In FY12, our investments reached an all-time high of more than $20 billion,
leveraging the power of the private sector to create jobs, spark innovation,
and tackle the world’s most pressing development challenges. For more
information, visit www.ifc.org.
About Patria Credit
Patria Credit was established in 2007
by the Romanian America Enterprise Fund (RAEF), which took over ownership
of Capa Finance and rebranded it Patria Credit in 2009. With 42 branches
and over 12,000 customers, Patria’s strategy targets small entrepreneurs
and agricultural producers, extending access to financial services in both
urban and rural areas.