EBRD and AIK Banka support SMEs in Serbia

• EBRD provides €50 million to its new partner financial institution in Serbia
• AIK Banka to on-lend the proceeds to SMEs
• Investment to boost SME access to finance, green economy and the banking sector

The European Bank for Reconstruction and Development (EBRD) has commenced cooperation with AIK Banka in Serbia with an inaugural loan of €50 million for on-lending to local small and medium-sized enterprises (SMEs). As part of the loan agreement, AIK Banka is set to invest at least 30 per cent of the proceeds in Serbia’s green economy.

The transaction will strengthen the new partner’s funding base and enable it to continue lending to the real economy. Local businesses will benefit from better access to finance for their growth, green ambitions and greater competitiveness.

The investment is also geared towards the development of Serbia’s banking sector through the exchange of knowledge and experience between the Bank and its new partner. The EBRD will share its international expertise with AIK Banka, which in turn will on-lend in line with the Bank’s environmental and social standards.

SMEs are the backbone of the Serbian economy, providing two-thirds of the country’s employment. Improving their access to finance is vital for Serbia’s sustainable and inclusive economic growth.

AIK Banka is well placed to provide much-needed long-term financing to local SMEs. It is a major corporate lender and serves more than 300,000 clients through 61 branches across the country.

The EBRD is a leading institutional investor in Serbia and has now invested more than €8.8 billion through 347 projects, of which the majority supported the private sector. The Bank focuses on supporting private sector competitiveness, green energy transition and sustainable infrastructure in the country.