Serbia—Metals Banka—Western Balkans SME Finance Framework (SMB)

Client: European Bank for Reconstruction and Development

Duration: 2006-2008

Region: Eastern Europe and Central Asia

Country: Serbia

In the Western Balkans, only a few financial intermediaries have sought out small business customers, and conservative collateral requirements and cumbersome credit procedures have further limited small and medium-sized enterprises’ (SMEs) access to finance. The European Bank for Reconstruction and Development established an SME finance facility to support Western Balkans countries in the transition to a market economy by strengthening the financial system and by increasing SMEs’ access to finance via the banking system, thereby enabling the SMEs to increase production and employment. DAI worked with Metals Banka to incorporate high-quality lending as an integral part of its ongoing business activities.

Select Results

Implemented a technical assistance programme accompanied by a €7 million credit line for on-lending to SMEs to help the bank strengthen its SME lending function.
Advised the bank on product development, internal lending policies, and procedures and training for SME lending staff to increase SME lending.

Egypt—Technical Assistance Improving Access to Finance by Facilitating Business Expansion of Promising and Growing Small and Medium Enterprises

DAI works to increase the access to capital and financial resources for currently underserved groups of small firms by working with the Bank of Alexandria in enhancing understanding of the issues specific to small firm lending, introducing the best lending and advisory practices, helping to design and roll out a programme that includes nonfinancial services aiming to improve financial literacy among final beneficiaries.