EIB Global and Development Bank of North Macedonia (DBNM) Partner to Drive Green Transition in North Macedonian SMEs with €100 Million Investment

EIB Global and Development Bank of North Macedonia (DBNM) Partner to Drive Green Transition in North Macedonian SMEs with €100 Million Investment

(IN BRIEF) The European Investment Bank (EIB) Global and the Development Bank of North Macedonia (DBNM) have joined forces to unlock €100 million of EU investment aimed at promoting the green transformation of small and medium-sized enterprises (SMEs) in North Macedonia. The funds will support the liquidity and investment needs of local businesses, with a focus on green projects. The collaboration aligns with the European Union’s Economic and Investment Plan and the Green Agenda for the Western Balkans. This marks the seventh cooperation agreement between the DBNM and the EIB, with previous agreements having supported thousands of local companies. The investment will contribute to sustainable economic development and the region’s prosperity.

(PRESS RELEASE) LUXEMBOURG, 17-Jul-2023 — /EuropaWire/ — In partnership with the Development Bank of North Macedonia (DBNM) and local commercial banks, EIB Global, the arm of the European Investment Bank (EIB) for activities outside the European Union, has announced a €100 million investment to accelerate the development and green transition of small and medium-sized enterprises (SMEs) and mid-caps in North Macedonia. The funding will address liquidity and investment requirements of local businesses and support energy and green transition initiatives. This commitment aligns with the European Union’s Economic and Investment Plan and the Green Agenda for the Western Balkans, underlining EIB Global’s dedication as part of Team Europe to enhance access to finance for Macedonian SMEs and promote their sustainable growth.

Lilyana Pavlova, Vice-President of the EIB responsible for operations in North Macedonia, highlighted the importance of improved access to finance for SMEs and a stable banking sector to drive economic growth, job creation, and competitiveness. Pavlova stated, “Our credit line will support the country’s climate objectives and SME growth, critical factors for sustainable economic development and prosperity in the broader region.”

This initiative complements the measures introduced by the Government of North Macedonia in 2022 to support households and businesses during the economic slowdown and energy crisis. Additional technical assistance will be provided in the coming months to aid the DBNM, local commercial banks, and Macedonian companies in achieving their green finance goals.

Finance Minister Fatmir Besimi emphasized the timely support provided to companies amidst the challenges posed by the energy crisis while promoting the country’s energy transition plan. He noted, “Fresh capital of €100 million will be injected into the national economy, extending support for companies’ liquidity needs and investments in renewables. This will ensure operational stability and a secure supply of electricity from their own resources.”

This agreement marks the seventh cooperation between the DBNM and the EIB, with the previous six agreements providing €550 million to support 2,362 local companies. Notably, this credit line represents the first joint initiative with a specific focus on climate action and environmental sustainability, aiming to drive the green transformation of the local economy.

Kire Naumov, CEO of the Development Bank of North Macedonia, expressed gratitude for the continuous support and positive impact of the EIB in promoting economic growth, job creation, and the green and digital transition through EU financial resources. Naumov stated, “With the seventh EIB cooperation agreement, the DBNM will continue to support small and medium businesses and strengthen its role in supporting green financing.”

EU Ambassador to North Macedonia David Geer highlighted that this credit line will support private sector investments in energy efficiency, renewable energy, and the circular economy, fostering economic development while contributing to a sustainable, net-zero carbon future. Geer stated, “This green credit line, promoted jointly by the European Union and the EIB, will help Macedonian small and medium-sized companies become more competitive and innovative during today’s rapid-paced green transition.”

Since 2019, the EIB has invested €212 million in the private sector of North Macedonia. The Bank seeks to mobilize further investments for private sector development in the country through the European Fund for Sustainable Development Plus (EFSD+) and the latest EU guarantee facilities, encouraging green investments, innovation, and digital transition in the region.

Media contacts:

Gordana Kovacevic

g.kovacevic@ext.eib.org
+352437970356

Press Office

press@eib.org
+352 4379 – 21000

SOURCE: European Investment Bank