Belgrade, Serbia, December 28, 2011—IFC,
a member of the World Bank Group, is providing a €50 million loan to Komercijalna
Banka ad Beograd to encourage further growth of the bank, strengthen the
overall banking sector in Serbia, and boost the economy.
The new subordinated loan qualifies
as Tier II capital and is part of IFC’s strategy to support systemic banks
in the region and encourage economic growth in the Western Balkans. IFC
Capitalization Fund in December 2009 invested around €42 million in non-voting
preferred shares of Komercijalna Banka, providing the bank with a capital
buffer that contributed to its growth during the past two years.
“This transaction further consolidates
our strategic partnership with IFC,” said Ivica Smolic, President of Komercijalna
Banka’s Executive Board. “The new loan will reinforce the capital position
of Komercijalna Banka and help us expand our services in Serbia and other
markets where we operate.”
Tomasz Telma, IFC Director for Europe
and Central Asia, said, “We are working with Komercijalna Banka to strengthen
the banking system in Serbia, and ensure that finance continues to flow
to businesses and people that need it. IFC’s loan will support the future
growth of the bank.”
IFC continues to provide strong support
to banks and businesses in Europe and Central Asia, with a focus on working
with systemic banks to support economic growth and job creation, and priority
sectors including agribusiness, infrastructure, and climate change. IFC’s
investments are complemented by advisory services programs. IFC committed
$2.68 billion in Europe and Central Asia in fiscal year 2011.
Serbia became a member of IFC in 2001.
To date, IFC's investment portfolio in Serbia stands at $672 million (€513
million), including financing mobilized from other partners. IFC Advisory
Services aim to improve the investment climate, introduce international
standards, strengthen corporate governance, and attract private sector
participation in development of 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, providing advisory services to businesses and
governments, and mobilizing capital in the international financial markets.
In fiscal 2011, amid economic uncertainty across the globe, we helped our
clients create jobs, strengthen environmental performance, and contribute
to their local communities—all while driving our investments to an all-time
high of nearly $19 billion. For more information, visit www.ifc.org.
For more information about Komercijalna
Banka ad Beograd, visit www.kombank.com