World Bank approved US$70 million to boost SMEs in Bosnia and Herzegovina

Microfinance Focus, Dec. 21, 2009: The World Bank Board of Executive Directors approved US$70 million financing for the Enhancing Small and Medium Enterprises Access to Finance Project in Bosnia recently, said a release.
The Enhancing Small and Medium Enterprises Access to Finance Project aims to improve access to finance for small and medium enterprises in Bosnia and Herzegovina, contributing to the growth of the regional economy and exports, which would benefit from improved access to finance, said the release.

“The proposed project is designed to support Small and Medium Enterprises (SMEs) in preserving and strengthening their market position under the conditions of crisis, and increasing economic opportunities by facilitating SME access to finance,” said Irina Astrakhan, World Bank’s Team Leader for the project.

The project would also help the banking sector in Bosnia weather the global economic downturn that has triggered financing difficulties for the enterprise sector.

“Private sector and banking sector sustainable growth are critical to the development of Bosnia and Herzegovina, which in turn may play a critical role for the continuing stability in the region,” stated Marco Mantovanelli, World Bank Country Manager for Bosnia and Herzegovina. “We hope that the project will now be urgently processed by BH authorities, so the funds can become available to SMEs as soon as possible,” Mantovanelli added.

The World Bank portfolio of active projects in Bosnia and Herzegovina now includes 14 operations worth about US$ 247.4 million.

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More information about the World Bank in Bosnia and Herzegovina available at: www.worldbank.ba

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