EBRD lends €21 million to TEB in Kosovo

• Financing package of up to €21 million will support households, SMEs and women-led businesses
• Financing will promote energy efficiency, renewable energy, digitalisation and automation
• Package will be complemented by EU grants and technical assistance

The European Bank for Reconstruction and Development (EBRD) is providing a financing package of up to €21 million to TEB Kosovo to expand access to green, digital and inclusive finance in Kosovo.

This funding will enable households and businesses to invest in energy-efficiency and renewable-energy solutions, while helping small and medium-sized enterprises (SMEs) to adopt green technologies, digitalise their operations and introduce automation. It will also increase access to finance and know-how for women-led businesses.

The new financing comprises four credit lines targeting different investment needs:

• €6 million through the Western Balkans Green Economy Financing Facility (GEFF), enabling households to invest in more energy-efficient homes and supporting energy-efficiency and renewable-energy investments in the public sector. This financing will help to increase the uptake of green technologies and reduce energy use.
• €5 million through the SME Go Green programme, helping micro, small and medium-sized enterprises (MSMEs) to invest in energy and resource efficiency, renewable energy and other green technologies, making their operations more sustainable and competitive. At least 33 per cent of these investments are expected to be in the agribusiness value chain, while 25 per cent of supported MSMEs are expected to be women-led.
• €5 million through the Go Digital in the Western Balkans programme, enabling SMEs to invest in automation, digitalisation and green technologies, helping them to modernise their operations, improve competitiveness and adopt EU standards. At least 60 per cent of these investments will finance automation and digitalisation projects, and at least 60 per cent will support the green economy.
• €5 million through the Western Balkans Women in Business programme, expanding access to finance and know-how for women-led MSMEs. This financing will help women entrepreneurs to invest in their businesses, strengthen their competitiveness and pursue new opportunities for growth.

The European Union (EU) is complementing the financing package with grants and technical assistance for green and digital investments through the Western Balkans Investment Framework (WBIF). It is also supporting the Women in Business financing through the European Fund for Sustainable Development Plus (EFSD+), including capacity building and first-loss risk cover. Additional technical assistance under the Green Economy Financing Facility is being provided by the Japan-EBRD Cooperation Fund.

Sergiy Maslichenko, the EBRD’s Head of Kosovo, said: “Access to finance is critical for businesses looking to invest, modernise and grow. Working with our longstanding partner TEB, we will help SMEs in Kosovo to become greener and more competitive, while expanding opportunities for women entrepreneurs and helping households to improve the energy efficiency of their homes and cut energy costs.”

Cihan Yilmaz, Managing Director of TEB, said: “At TEB Kosovo, we are committed to supporting the sustainable growth and competitiveness of Kosovo’s economy. This new financing package with the EBRD represents an important opportunity to help reduce energy costs, enable businesses to invest in green and digital transformation, and further strengthen support for women entrepreneurs. We believe that investments in sustainability, digitalisation and inclusivity are essential for long-term economic development and resilience. As a longstanding partner of the EBRD, we are proud to continue contributing to Kosovo’s transition towards a greener, more digital and more inclusive economy, while creating new opportunities for growth and success for our customers across all sectors.”

Hubert Perr, Head of Cooperation at the EU Office in Kosovo, said: “The European Union is proud to support this financing package, which will help households and businesses invest in a greener and more digital future. Through the Western Balkans Investment Framework and the European Fund for Sustainable Development Plus, we are combining EBRD loans with EU grants, technical assistance and risk sharing to expand opportunity, strengthen competitiveness and improve access to finance, also for women-led businesses.”

Established in 2007, TEB Kosovo is a subsidiary of TEB Holding, a joint venture between BNP Paribas and the Çolakoğlu Group. It provides financial services to individuals and businesses, with a focus on retail and SME lending.

The EBRD is a leading institutional investor in Kosovo, having invested almost €990 million through 152 projects in the country. Most of that investment has gone to the private sector.