EBRD extends another EUR 25 million to support Serbian companies

The European Bank for Reconstruction and Development (EBRD) has extended a EUR 25 million equivalent revolving factoring facility in Serbian dinars to UniCredit Serbia under its Trade Facilitation Programme (TFP), further strengthening access to working capital finance for Serbian businesses, the EBRD announced.

The facility will support UniCredit’s domestic factoring activities, enabling the bank to provide additional financing to companies across a broad range of sectors and helping boost liquidity in local supply chains. The transaction marks the first disbursement in Serbian dinars under the EBRD's factoring facility with UniCredit and reflects strong demand for receivables finance solutions in Serbia, the press release says.

The facility will increase the availability of working capital finance for Serbian businesses by supporting UniCredit’s domestic factoring activities and enabling additional liquidity to flow through local supply chains. The availability of funding in Serbian dinars is particularly important for companies whose revenues and expenses are predominantly denominated in local currency, giving them access to financing that is better aligned with their business needs and cash-flow cycles, the press release points out.

– Factoring is playing an increasingly important role in supporting domestic trade and supply chains by enabling companies to convert outstanding invoices into immediate cash. Improved access to factoring finance allows businesses to strengthen cash-flow management, meet supplier obligations and pursue new business opportunities without having to wait for customer payments to be received – the EBRD says.

As added, the EBRD is a leading institutional investor in Serbia. It has invested more than EUR 11 billion in the country through more than 410 projects, with a strong focus on private-sector competitiveness, sustainable infrastructure, green economy investments and financial-sector development.

EBRD Evropska banka za obnovu i razvoj Beograd

EBRD

support to operations of Serbian companies