IFC Boosts Access to Finance for Smaller
Companies in Kosovo
Pristina, Kosovo, June 18, 2013
- IFC, a member of the World Bank Group, is working with Kosovo’s TEB
bank to increase lending to micro-, small, and medium-sized enterprises
(MSMEs), boosting the competitiveness of the country’s banking sector
and spurring economic growth.
IFC will lend €4.5 million to TEB.
The subordinated loan will be counted towards the bank’s supplementary
capital, enabling increased lending to MSMEs. Expanding access to finance
for MSMEs in Kosovo, where unemployment is around 45 percent, will create
jobs, grow the economy, reduce poverty and sustain overall development.
“TEB has a strategic partnership with
IFC and we are working together to increase the quality and diversity of
our financial services to businesses in Kosovo,” said Orkun Mungan, Managing
Director at TEB Kosovo. “We remain committed to our clients in Kosovo
and want to see them grow and expand beyond the country’s borders and
realize their potential.”
By extending this loan to TEB, IFC is
also supporting foreign investments and encouraging other investors to
explore possibilities in Kosovo.
“We are working with TEB in Kosovo
to ensure that smaller companies have access to capital,” said Tomasz
Telma, IFC Director for Europe and Central Asia. “IFC’s loan will
increase lending to local companies at a time when businesses continue
to face difficulties in obtaining funding for their development.”
Kosovo became an IFC member and shareholder
in 2009. So far, IFC has invested in the manufacturing and financial sectors.
IFC’s advisory services in Kosovo aim to improve the investment climate,
boost the performance of companies, and increase private sector participation
in infrastructure projects.
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.
For more information on TEB in Kosovo,
please visit: http://www.teb-kos.com/