The EBRD and Societe Generale Splitska banka are joining forces to stimulate the recovery and growth of Croatia’s real economy with a €75 million financing package for on-lending to the country’s private businesses and individual consumers.
Structured in three tranches, the loan is designed to support Splitska banka’s overall strategy for the next three years. The funding will be used for on-lending to private companies and individuals, with a particular focus on increasing lending to small and medium-sized enterprises (SMEs), improving regional outreach and financing investments aimed at increasing competitiveness, in particular in the context of Croatia’s EU accession.
Splitska banka, owned by the Société Générale banking group, is the sixth largest bank in Croatia, providing a wide range of corporate and retail banking services, with a particular focus on SMEs. The EBRD project will support an important player in the Croatian banking market and increase the flow of credit to its clients at a time when continued long-term lending is important for economic recovery and growth.
“The EBRD is very pleased to cooperate with Societe Generale Splitska banka through this project with the aim of supporting the flow of credit to Croatia’s economy during the current challenging period. This new project that comes under the Joint IFI Recovery Action Plan for Central and South-Eastern Europe, will also support Societe Generale Splitska banka in diversifying its funding base and help the bank’s growth strategy in the medium term.” said Henry Russell, Director at the EBRD’s Financial Institutions Business Group.
Mr. Andre Marc Prudent from Societe Generale Splitska banka added: “We, at Splitska banka, are strongly committed to financing the development of the Croatian economy, and this signing confirms our intention to continue to actively offer our clients more funding options at convenient terms and conditions, despite the challenging environment. These funds will help to support growth, by ensuring sufficient capital funding for quality projects in Croatia. Likewise, even though Splitska banka is part of the strong international banking group Société Générale, this loan also proves that Splitska banka is capable of autonomously ensuring the international market of the sources of funds required for our growth. This is also an acknowledgement for Croatia, as the country where Splitska banka operates.”
Since 2009 the EBRD has invested over €900 million in Croatia.