European Fund for Southeast Europe (EFSE), a microfinance investment fund, has extended a EUR6m credit line to Intesa Sanpaolo Banka Bosna i Hercegovina, Sarajevo, Bosnia and Herzegovina.
The credit line is part of EFSE’s strategy to support housing finance in the financial market of Bosnia and Herzegovina. Particularly, this involves improving access to loans for housing and home improvement for low-income groups.
Intesa Sanpaolo Banka BiH provides services to 122,000 customers through a network of 47 branches. As a commercial bank, it offers a range of products both for corporate and retail customers.
Almir Krkalic, CEO of Intesa Sanpaolo Banka BiH, said: “Intesa Sanpaolo Banka BiH, member of Intesa Sanpaolo Group, since 2000 has had successful cooperation with EFSE. This new credit line in the amount of EUR6m is intended for financing retail housing loans. Our goal is to offer to our clients financing sources of a better quality and more simple conditions, in order to resolve their housing issues.”
Sylvia Wisniwski, chief operating officer of EFSE, said: “In Bosnia and Herzegovina, especially in areas outside urban centers, there is a great demand for better quality housing. EFSE’s loan to Intesa Sanpaolo Banka addresses this need and will help improve living standards.”
Currently, the fund has an outstanding portfolio of EUR25m with the bank. These include funds for on-lending to micro and small enterprises as well as to individuals and families for housing and home improvement.