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EFSE provides EUR 3 million senior loan to Partner MCF in Bosnia and Herzegovina

The European Fund for Southeast Europe (EFSE) issued a EUR 3 million senior loan to Partner Microfinance Foundation (Partner MCF) for on-lending to small and micro and small enterprises (MSEs) in Bosnia and Herzegovina. This senior loan will finance 5,000 new loans to MSEs, enabling them to realize business opportunities, generate additional income and create employment.
Partner MCF and EFSE have been working together since 2002. Headquartered in Tuzla, Partner MCF is one of the leading microcredit organizations in Bosnia and Herzegovina with a particular focus on rural areas and women. Via a network of 21 branches and 56 field offices, Partner MCF services close to 40,000 clients with a wide range of credit products, including entrepreneurial and agricultural loans.

"We are pleased to further support Partner MCF,” says Monika Beck, Chairperson of the Board of the EFSE. "Its strong presence in the rural areas of Bosnia and Herzegovina especially makes Partner MCF an ideal partner for the EFSE in helping us to fulfil our mission of fostering economic development and prosperity in the region.”

"It is a great honour and pleasure for us to continue this successful cooperation with the EFSE, which began in 2002," says Senad Sinanovic, Director of Partner Microcredit Foundation. "Partner MCF is now in the best position to continue providing loans to help our clients start up new businesses or invest in the growth of existing ones. MSEs are truly the engine of an economy, since entrepreneurs embody the possibilities that are open for anyone who is willing to commit to hard work and transform their ideas into reality. Business loans will enable our clients to generate income from small or family businesses and to create new jobs for their family members or new employees. Investing in business will inevitably result in an improved standard of living for all those involved in business activities.”
About the European Fund for Southeast Europe
The European Fund for Southeast Europe (EFSE) was initiated by KfW Development Bank (KfW) with the financial support of the German Federal Ministry for Economic Cooperation and Development (BMZ) and the European Commission. It aims to foster economic development and prosperity in Albania, Armenia, Azerbaijan, Belarus, Bosnia and Herzegovina, Bulgaria, Croatia, former Yugoslav Republic of Macedonia, Kosovo, Georgia, Moldova, Montenegro, Romania, Serbia, Ukraine and Turkey. As access to finance is a key success factor in developing the micro, small and medium enterprise segments, the EFSE focuses on assisting local financial sectors in strengthening their ability to ensure adequate and sustainable financing. The funding the EFSE provides as long-term finance primarily for micro and small enterprises (MSEs) – but also for private households in the form of home improvement loans – is channelled to these loan customers through local partner lending institutions. Supporting the EFSE’s investment activities is the EFSE Development Facility, which provides partner lending institutions with technical assistance, consulting and training services to build operational capacities and professional management.

Initiated by KfW Development Bank (KfW) on 15 December 2005 from four multi-donor programs under its management, the EFSE is the first public-private partnership of its kind and the first privately managed fund in development finance to leverage private funding for MSE finance in the target region. Capital is provided by donor agencies, international financial institutions and private institutional investors, including the German Federal Ministry for Economic Cooperation and Development (BMZ), the European Commission (EC), the Government of Albania, Small and Medium Business Credit Support CJSC (SMBCS), a subsidiary of the Central Bank of Armenia, the Development Bank of Austria (Oesterreichische Entwicklungsbank - OeEB), the Swiss Agency for Development and Cooperation (SDC), the Danish International Development Agency (Danida), KfW as Lead Investor, the International Finance Corporation (IFC), the Netherlands Finance Company (FMO), the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), Sal. Oppenheim and Deutsche Bank.

Oppenheim Asset Management Services S.à r.l., Luxembourg, and Finance in Motion GmbH, Germany, are, respectively, the EFSE’s Fund Manager and Fund Advisor.
About Partner MCF
Partner Microcredit Foundation (Partner MCF), which has successfully engaged in providing microcredit services for more than 17 years in Bosnia and Herzegovina, has its head office is located in Tuzla and operates through 55 branches across the country. Partner MCF provides loans for various business activities with a focus on rural areas and agriculture. In addition to loans for business purposes, Partner MCF provides loans for housing and other needs of households and special loan products for energy savings and solar energy collectors. Partner MCF obtained the Client Protection Certificate issued by the Smart Campaign. For more information, please visit www.partner.ba
Media contact EFSE    
Media Relations
Merle Römer
Manager Communications and Events
e-mail: press@efse.lu
Tel: +49 (0)69 9778 7650-171
       
Media contact MCF Partner
Selma Jahić
Director for Loan Operations
e-mail: selma@partner.ba
Tel: +387 35 300 281

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