EBRD Credit Line to UCB Serbia in Serbia to expand its services to small and medium-sized enterprises (SMEs)

The EBRD is considering providing a senior loan of up to €60 million to UniCredit Bank Serbia JSC (UCB Serbia) for on-lending to SMEs and medium-sized corporates in Serbia. The proceeds of the loan will be used by UCB Serbia to provide medium and long-term financing to private companies for production, investment, trade, services and working capital needs.

Transition Impact

The SME and Medium Corporate credit line will contribute to the transition process by maintaining an essential flow of lending to private enterprises at a time when the availability of credit, particularly to SMEs and corporates, has been constrained. Transition impact potential also derives from the demonstration effect associated with the energy savings and will help improvement of competitiveness of the private SME and corporate sector.

The Client

UniCredit Bank Serbia JSC (UCB Serbia). As of end-October 2010, UCB Serbia’s total assets amounted to €1,631.3 million and total equity amounted to €290.5 million. The audited 2009 net profit was at €29.7 million. UCB Serbia is a large Serbian bank, with a 6.6% market share of total banking assets as of end-October 2010.

EBRD Finance

SME and Medium Corporate Credit Line - EUR €60 million, in three equal tranches.

Project Cost

Total project costs of €60 million.

Environmental Impact

Screened FIs. UCB Serbia will be required to comply with EBRD’s Environmental Performance Requirement (“PR”) 9 when making local loans, conduct their business in accordance with PR 2, adhere to the EBRD's Environmental and Social Exclusion and Referral Lists, and submit Annual Environmental and Social Reports to the Bank. The subsidiary borrowers will be required to comply with applicable national environmental, health and safety and labour requirements.

Technical Cooperation

No technical co-operation will be granted under the SME and Medium Corporate Credit Line.

Company Contact

UniCredit Bank Serbia JSC 

Mrs. Jelena Milosevic - Head of ALM 

88, Omladinskih brigada, Airport City 

11070 New Belgrade 

Serbia 

Phone: 00 381 11 3770 905 

Fax: 00 381 11 3770 998 

E-mail: jelena.milosevic@unicreditgroup.rs