Member News: EIF Partners With Erste Bank to Offer SME Support in Montenegro
SME Finance Forum member The European Investment Fund (EIF) signed the first InnovFin SME Guarantee Facility agreement in Montenegro with Erste Bank AD Podgorica to support innovative SMEs. The InnovFin Agreement will protect 50 percent of each loan distributed by Erste Bank and is expected to trigger a total loan portfolio of up to €30 million.
“This agreement allows Erste Bank in Montenegro to increase financing for SMEs and small mid-caps, which will be instrumental in supporting an innovation agenda in the country, delivering new products and services,” shared EIF Chief Executive, Pier Luigi Gilibert. “Erste Group is one of EIF’s long-standing partners and we are confident that the InnovFin SME guarantee will quickly channel finance to SMEs and small mid-caps. Thanks to this guarantee scheme, healthy and innovative initiatives will have access to finance on more favourable terms.”
The goal of the InnovFin SME Guarantee is to encourage banks and other financial institutions to lend to SMEs.