The European Bank for Reconstruction and Development said on Monday it signed an agreement to increase its existing risk sharing facility for Intesa Sanpaolo Bank Albania to 50 million euro ($61.4 million) from 10 million euro and to extend it by three years.
“The product is designed to allow the EBRD to share the risk on individual projects across all sectors of the Albanian economy by guaranteeing part of Intesa Sanpaolo Bank’s exposures,” EBRD said in a statement following the signing of the agreement in London on the sidelines of the third Western Balkans Investment Summit.
To date, the EBRD has risk shared on three projects with Intesa Sanpaolo Bank.
“We are happy to strengthen our collaboration with and support for Intesa Sanpaolo Bank Albania. The expanded risk sharing facility will enable Intesa Sanpaolo to step up its lending to the local economy and boost access to finance for local small businesses which are the main engine of sustainable economic growth,” Charlotte Ruhe, EBRD Managing Director, Central and South-Eastern Europe, said in the statement.
Intesa Sanpaolo Bank Albania, a fully-owned subsidiary of Italy’s Intesa Sanpaolo Spa, is the fourth largest bank in Albania by total assets. The bank is a long-standing partner of the EBRD, including in the Women in Business programme and the Albanian Agribusiness Support Facility.
The EBRD has invested more than 1 billion euro in Albania through almost 80 projects so far. The bank is active in all sectors of the economy, with a special emphasis on infrastructure, energy and the development of small and medium-sized enterprises.
News source: EBRD