The European Bank for Reconstruction and Development (EBRD) and the European Union are extending their support to small- and medium-sized enterprises (SMEs) in Ukraine, Georgia and Moldova to a total of close to €1.1 billion in credit lines and trade finance and €58.3 million in EU grants, UNIAN reports.
The EU4Business-EBRD Credit line, a joint EBRD-EU program supported by the EU4Business initiative established in September 2016, has supplied over €60 million in financing to more than 100 Georgian enterprises, the EBRD said in a statement on its website. The EU4Business-EBRD Credit Line is also available in Moldova and is expected to launch soon in Ukraine.
The credit line aims to assist local businesses in reaping the benefits associated with their countries’ free trade agreements with the European Union, the largest trading block in the world. “We are delighted to see the first real results of our financing supporting Georgian enterprises. From hazelnut processing to road construction, from promoting local produce to succeeding in overseas markets – businesses supported by the program have decided to adopt European standards, and we are happy to contribute to their success,” EBRD Director for the Caucasus, Moldova and Belarus Bruni Balvanera said.
The European Bank for Reconstruction and Development supports companies with required finance through local partner banks, which allows them to invest in efficient machinery and technology. The European Union funds complement investments with technical expertise and provide incentive payments to businesses for successful and profitable operation. Access to knowledge and know-how is another dimension of the EBRD-EU cooperation, with EU financing of €18 million, whereas the EBRD SME Finance and Development Group fosters advisory services for enhanced performance and economic growth in all EU Eastern Partnership nations.