The European Bank for Reconstruction & Development (EBRD) is to continue supporting countries in the Balkans affected by recent floods.
The Balkans were hit by floods in May which left thousands homeless, and caused widespread damage in the fields of energy, agriculture and infrastructure.
In Serbia, EBRD has pledged that up to €300 million will be made available to the public sector for repairs, and that up to €100 million will be available for small- and medium-sized municipalities from the Municipal Infrastructure Development Fund.
In the private sector, the EBRD will use regional funding facilities, including the Local Enterprise Facility (LEF), the Enterprise Expansion Fund (ENEF) and the recently-launched Western Balkans & Croatia Finance Framework IV (WBFF IV) to extend support to local businesses directly or through local partner banks.
Under the WBFF IV, €50 million has already been extended to UniCredit Bank Serbia in two ways – mortgage loans and credit lines for small- and medium-sized firms.
Meanwhile, in Bosnia and Herzegovina, the EBRD is to make up to €58 million available to the public sector, and a further €100 million for small- and medium-sized municipalities from the Municipal Infrastructure Development Fund.
In the private sector, the EBRD will use regional funding facilities, similar to those available to Serbia, to extend support to local firms directly or through local partner banks.
The EBRD is also considering investing in flood prevention measures on a regional basis, in co-operation with other international financial institutions and donors.
EBRD has been working with authorities in the Balkans since the floods in May, with vice president for policy, András Simor, visiting the region.