EBRD, EU and Bank Respublika to support Azerbaijani MSMEs
Nov 23, 2024
- EBRD lends up to US$ 7.5 million to longstanding client Bank Respublika
- EU-backed programme provides technical support and investment grants
- First SMECI project in Azerbaijan, expanding local MSMEs’ access to finance
The European Bank for Reconstruction and Development (EBRD) is extending a loan of up to US$ 7.5 million (€7 million) in local currency to Bank Respublika, one of Azerbaijan’s leading commercial banks. That partner bank will lend the proceeds on to micro, small and medium-sized enterprises (MSMEs).
The loan agreement was signed at the UN Climate Change Conference in Baku (COP29), with the financing being provided under the Eastern Partnership SME Competitiveness and Inclusion Programme (SMECI). That programme is supported by the European Union (EU) through grant funding to ensure that MSMEs have access to the resources and guidance needed for successful implementation of projects.
The EU’s support has been instrumental in unlocking new opportunities across the Caucasus. Just weeks ago, the EBRD and Bank Respublika signed a US$ 7.5 million (€7 million) MSME loan under the European Fund for Sustainable Development Plus (EFSD+) Guarantee Programme.
This financing package is the first SMECI project in Azerbaijan. By bolstering MSMEs’ access to finance, the EBRD, the EU and Bank Respublika are continuing to build resilience in Azerbaijan’s MSME sector, strengthening private-sector development and diversification of the economy.
Francis Malige, Managing Director for Financial Institutions at the EBRD, said: “I’m happy to be here at COP29 in Baku, providing support for MSMEs with the EU and our trusted partner Bank Respublika. Together, we’re strengthening the foundations of a sustainable and inclusive economy in Azerbaijan.”
Tariel Ismayilov, Chairman of the Management Board of Bank Respublika said: “For the second year in a row, we have been EBRD's top partner in trade financing, and we are pleased to begin cooperation in green technology. It is especially gratifying for us, as this agreement was signed at COP29 held in our country. Like previous EBRD loans, this loan will support Azerbaijani entrepreneurs, helping them to grow their businesses by adopting eco-friendly technologies. We deeply value our partnership with EBRD—a leading global financial institution and a pioneer in green economy financing—and we appreciate their support.”
Peter Michalko, Ambassador of the European Union to the Republic of Azerbaijan said: “Micro, small and medium-sized enterprises have the potential to create jobs and drive economic growth and that is why this loan is an important achievement. The EU places a strong focus on supporting business - a key part of the implementation of the EU’s Economic and Investment Plan for Azerbaijan.”
Bank Respublika is a longstanding EBRD partner and one of Azerbaijan’s leading commercial banks. It has a strong focus on the SME sector and financial inclusion, supporting the growth of local businesses across the country.
The EBRD is a leading institutional investor in Azerbaijan, having invested over €3.7 billion in 191 projects there.
Latest
Dec 17, 2024
"Green Future" knowledge competition
News
If you are ready to transform your green ideas into powerful and tangible solutions, join the European Union's "Green Future" knowledge competition!
Nov 25, 2024
EBRD invests in Azerbaijan’s solar power expansion at COP29
News
The European Bank for Reconstruction and Development (EBRD) has unveiled a significant investment in Azerbaijan's renewable energy sector during COP29 in Baku, Trend reports.
Nov 23, 2024
EBRD, EU and Bank Respublika to support Azerbaijani MSMEs
News
The European Bank for Reconstruction and Development (EBRD) is extending a loan of up to US$ 7.5 million (€7 million) in local currency to Bank Respublika, one of Azerbaijan’s leading commercial banks.
Nov 23, 2024
Boosting Green: Polish-Azerbaijani Business Forum in Baku
News
On November 18, 2024, the Boosting Green: Polish-Azerbaijani Business Forum took place in Baku, organized by the Ministry of Climate and Environment of the Republic of Poland and the Polish Embassy in Baku as a side event of the COP29 climate summit held in the capital of Azerbaijan.
Nov 05, 2024
European Union at COP29
News
Join us on the ground at the EU Pavilion and discover how the European Union is leading the way to a sustainable future!
Oct 15, 2024
The European Union-Türkiye Azerbaijan Investment Meet, 2024
News
The event is titled the European Union-Türkiye Azerbaijan Investment Meet, 2024 and will take place at the Lankaran Springs Hotel in Lankaran, Azerbaijan, on October 30-31, 2024.
Oct 01, 2024
"NORDIC TALKS" Initiative Ahead of COP29 in Baku
News
Nordic Embassies Launch the "NORDIC TALKS" Initiative Ahead of COP29 in Baku
Sep 27, 2024
EU4Digital selects Eastern partner clusters for ESCA benchmarking and quality labelling
News
EU4Digital Facility is pleased to announce that five innovation cluster management organisations from Eastern partner countries have been chosen to receive support to participate in the European Secretariat for Cluster Analysis (ESCA) benchmarking and quality labelling process.
Jul 09, 2024
Azerbaijani President grants new authority to Ministry of Economy - DECREE
News
The President of the Republic of Azerbaijan Ilham Aliyev has signed a Decree “On some issues related to the use of the Registered Exporters System of the European Commission by the Republic of Azerbaijan”, APA reports.
Jul 01, 2024
The first Poland-Azerbaijan Innovative Finance Forum
News
The first Poland-Azerbaijan Innovative Finance Forum took place online on June 27, 2024, and was organized by the Polish Embassy in Baku, Fintech Poland, Azerbaijan Fintech Association and Azerbaijan Banks Association.
Jun 04, 2024
The Launching Event of the EU-Azerbaijan Business Forum 2024-2026 was held in Baku
News
On 29 May 2024, COWI Belgium in collaboration with the Azerbaijan-France Chamber of Commerce and Industry (AFchamber) and InvestBaku, held the Launching Event of the EU-Azerbaijan Business Forum 2024-2026 project funded by the European Union.
May 30, 2024
Exploring Innovation and Entrepreneurship: Insights from Tallinn’s Latitude59 Event
News
Azizaga Atakishiyev, a Green Vet Specialist, shares insights from his recent educational tour at Tallinn's Latitude59 event.
