The European Bank for Reconstruction and Development and the Albanian government are working in establishing a Facility program in cooperation with private banks and lending financial private institutions in providing more grants and loans for agribusinesses. On Friday, the head of EBRD office in Tirana Christoph Denk attended a meeting with the Minister of Agriculture Edmond Panariti and signed a Letter of Interest for creating a Financial Facility program to support agribusinesses.
EBRD Office’s press conference regarding this new program says Albania has vast and unexploited potential in this sector but there is still to be done in reducing the informality and increasing the financing for agribusinesses.
The new program of facility will be established with the aim to enhance the collaboration of agribusinesses with private banks or financial lending institutions, with EBRD serving and as a middleman.
According to the Director of EBRD Office in Albania “the EBRD will activate this instrument through local banks and non-bank institutions in the form of lending or by sharing the risk with banks. The Facility program will be supported by Albanian government funds which will cover the first losses. The Letter of Interest affirms our desire to develop this platform jointly with the government.”
The European Bank for Reconstruction and Development has invested in Albania circa EUR 1 billion in 70 projects in various sectors.
News source/photo credits: ATA