- EBRD US$ 2 million financing to one of Azerbaijan’s largest leather hide producers
- Support for construction of new, modern production plant
- Loan under Direct Financing Framework for Small and Medium-sized Enterprises
The European Bank for Reconstruction and Development (EBRD) is extending a US$ 2 million loan to RER Modern Hides LLC, one of the largest producers and exporters of semi-finished and finished leather hides in Azerbaijan.
Building on its successful and growing operations, the company, established in 2013, is now planning to launch a modern production facility that will enable it to improve the quality of manufactured semi-finished and finished leather hides and expand the product range, with the goal of reaching a wider customer base and export markets. The EBRD loan will also be used for the purchase of new equipment.
The financing will be provided in Azerbaijani manat under the EBRD Direct Financing Framework for Small and Medium-sized Enterprises, which addresses the growing business needs that are not sufficiently supported by other sources. The EBRD financing is typically used to finance acquisitions, expansion or modernisation investments, efficiency improvements and working capital. More than 1,000 companies have benefited from the framework to date.
The EBRD is an important institutional investor in Azerbaijan. To date, the Bank has invested €3.2 billion through 175 projects in the country.