Croatian enterprises to benefit from new EBRD funding

By Axel  Reiserer

Private Croatian enterprises will benefit from a €20 million loan the EBRD is providing to SG Leasing d.o.o., a local subsidiary of Société Générale Splitska Banka d.d., to expand lease financing for equipment, light commercial vehicles, trucks and trailers.

The EBRD is supporting the recovery of the sector with a new Croatia Leasing Sector Framework under which the loan to SG Leasing will be the first project.

The Croatian leasing market has been severely affected by the global financial crisis over the last five years as total assets of the sector decreased by 46 per cent and the amount of new business last year was down by 65 per cent compared with before the crisis.

Nick Tesseyman, EBRD Managing Director Financial Institutions, said: “I am pleased to sign today’s agreement because it marks the beginning of an important initiative. For the EBRD, strengthening the Croatian leasing sector and supporting private local enterprises are important goals and today’s signing is designed to meet these objectives.”

Vedrana Jelušić Kašić, EBRD Director for Croatia, added: “Our loan to SG Leasing marks an important step in our activities in Croatia. The EBRD has supported the financial sector in the country mainly by providing medium-term funding to banks and our new leasing framework now marks a further deepening of cooperation. It is especially important that the beneficiaries will be Croatian entrepreneurs who are driving forward the country’s economy.”

Krešimir Steinbauer, President of the Management Board of SG Leasing, underlined: “This project between the EBRD and SG Leasing will provide indispensable and tailored leasing finance for micro, small and medium-sized companies in Croatia. As a key element of this programme our business partners will benefit from increased competitiveness and the possibility of further growth in a challenging environment.”

The EBRD has been active in Croatia as an investor since the country’s independence and has invested some €2.95 billion in more than 161 projects to date. The Bank’s activities include all sectors of the economy, particularly in infrastructure, corporate, financial institutions and energy.

Société Générale Splitska Banka established SG Leasing in 2008 in Croatia. Carefully monitoring the market, SG Leasing tailors addresses the specific needs of its clients and offers top-quality products at competitive prices and interest rates. The SG Leasing team in Croatia is formed by professionals who offer customised solutions, and customers benefit from the expertise, service and safety offered by one of the leading global financiers.