EFSE secures EUR 20 million for UniCredit Bank for housing loans – Agreement on new credit line signed

The European Fund for Southeast Europe (EFSE) and UniCredit Bank Serbia have signed an agreement on a EUR 20 million credit line meant for financing housing loans in Serbia.

As UniCredit Bank reported, the funds from the EFSE credit line are expected to provide support to clients taking out housing loans.

– This will further strengthen the position of UniCredit Bank in the market regarding this type of crediting, which will stimulate the continuation of housing crediting in cities throughout Serbia. This is extremely important, considering that the majority of the bank’s credit portfolio is located outside of Belgrade – the report says.

The president of the EFSE Managing Board, Cristoph Tiskens, reminded that citizens often needed help in buying their first apartments.

– This credit line will enable UniCredit Bank to finance such needs, at the same time fulfilling the mission of EFSE to secure adequate housing conditions in regions it operates in.

Solving the housing issue is one of the priorities for individuals and families in Serbia, said Nikola Vuletic, head of the retail sector of UniCredit Bank.

– This is why we focused in 2016 on offering housing loans created in line with our clients’ needs. In addition to the fact that the funds from the EFSE credit line will enable us to continue providing support to citizens looking to solve their housing issues, it will also impact the growth of our market share in this segment – Vuletic said.

EFSE was founded by KfW with financial aid by the Federal Ministry for Economic Cooperation and Development of Germany (BMZ) and the European Commission (EC).

The goal of EFSE is to stimulate economic development and prosperity in Albania, Armenia, Azerbaijan, Belarus, Bosnia and Herzegovina, Bulgaria, Croatia, FRY Macedonia, Georgia, Moldova, Montenegro, Romania, Serbia, Ukraine and Turkey. Seeing how access to finance is crucial to the success of the development of micro, small and medium enterprises, EFSE focuses on support to local financial institutions in enhancing their capacities in order to secure adequate and sustainable financing, the report says.