Luxembourg fund supports entrepreneurs in Bosnia & Herzegovina
The European Fund for Southeast Europe (EFSE) will give a €2 million loan to a microfinance institution in Bosnia and Herzegovina, expanding its partnerships in the region.
Through the microcredit foundation MI-BOSPO, the Luxembourg-based fund will help finance 3000 micro and small enterprises that have experienced "difficulties securing financing through more traditional channels".
According to a company statement, half of the loans will be invested in rural areas of the Balkan country and will benefit entrepreneurs active in the agriculture industry.
MI-BOSPO has used EFSE loans for more than 10 years to finance about 16,000 rural businesses, as well as micro and small enterprises. Based in Tuzla, the microfinance provider has also supported a high number of women entrepreneurs on low income to strengthen their economic and social status.
Initiated by the KfW Development Bank in December 2005, the EFSE is the first public-private partnership of its kind and the first privately managed fund in development finance to leverage private funding for MSE finance in Eastern and Southeastern Europe as well as Eastern Membership states.
(Roxana Mironescu, firstname.lastname@example.org, +325 49 93 748)