New financing to support development of leasing market in the country
The European Bank for Reconstruction and Development (EBRD) is extending a €10 million loan to Garanti Leasing Romania to broaden access to finance for the country’s small and medium-sized enterprises (SMEs).
Garanti Leasing will use the loan to finance new leases for local SMEs, in particular for equipment, trucks and trailers and other vehicles.
“Leasing represents an attractive alternative way for local SMEs to fulfil their investment needs. We are committed to supporting the development of the leasing market here in Romania and are pleased to partner for the first time with Garanti Leasing to advance this goal,” said Matteo Patrone, EBRD Regional Director for Romania and Bulgaria.
Part of the financial-banking group Garanti Romania, which is held by Turkiye Garanti Bankasi AS (TGB), Turkey’s second-largest private bank, Garanti Leasing has a strong focus on SMEs and a 4.6 per cent share of the Romanian leasing market.
“SMEs represent one of the most important engines of the Romanian economy, and the companies from this important segment need to be encouraged, in order to reach their full potential and be successful. Garanti Leasing has been a long-term supporter of SMEs. Through our partnership with the EBRD we are reiterating our commitment to the Romanian business environment, thus also contributing to local economic growth,” commented Okan Yurtsever, General Manager, Garanti Leasing.
With over 18 years of experience in the Romanian leasing market, Garanti Leasing completes the Garanti Group’s range of products and services with offers for vehicles, equipment and real estate leasing, sales and leaseback. Since its establishment, the company has disbursed over €800 million for assets under finance leases and has signed more than 43,000 lease contracts. The firm currently operates from eight offices in association with Garanti Bank’s 84 branches.
Broadening access to finance for Romanian companies via alternative credit channels is among the EBRD’s priorities for the country.
The EBRD is a leading institutional investor in Romania. It focuses on promoting stability and expanding products in the financial sector, strengthening infrastructure through improved efficiency and greater private sector involvement, as well as on restructuring the power sector and increasing energy efficiency and sustainability.
The Bank has invested over €7 billion in the country to date and has also mobilised more than €14 billion from other sources of financing.