The European Bank for Reconstruction and Development (EBRD) announced on Monday plans to extend a loan of up to $7.5 million (€6.9 million) in local currency to Bank Respublika, one of Azerbaijan's prominent commercial banks. The funding aims to bolster the competitiveness and green transition of small and medium-sized enterprises (SMEs) in the region, with half of the proceeds earmarked for green investments. The loan will facilitate the adoption of energy-efficient technologies and renewable energy solutions among local businesses, helping them reduce their environmental footprint. Additionally, the transaction benefits from a first-loss guarantee under the European Fund for Sustainable Development Plus (EFSD+) programme, which is backed by the European Union. Bank Respublika, a long-standing EBRD partner, emphasises financial inclusion and the growth of the SME sector in Azerbaijan. The EBRD, a key institutional investor in the country, has invested over €3.6 billion across 190 projects, focusing on economic diversification and private sector development. This initiative reflects the EBRD's ongoing commitment to support sustainable economic growth in Azerbaijan and empower local businesses. Attribution: The European Bank for Reconstruction and Development (EBRD) Subediting: Y.Yasser
