Banca Intesa, part of the international banking group Intesa Sanpaolo, and the German development bank KfW have signed an agreement for a €40 million credit line aimed at supporting green investments by small and medium-sized enterprises (SMEs), public companies and local governments in Serbia.
The funds from this new credit line will be used to finance long-term investments that focus on improving energy efficiency, utilizing renewable energy sources, enhancing natural resource efficiency, recycling, and reducing harmful emissions to combat environmental pollution.
Darko Popović, President of the Executive Board of Banca Intesa, expressed pride in continuing the long-standing partnership with KfW. He highlighted the importance of providing additional funding for green projects with more favorable terms, aligning with global sustainability goals. “We are committed to integrating ESG principles into the strategic plans of our parent group, Intesa Sanpaolo. Alongside our lending activities, we are focused on reducing our carbon footprint and raising awareness about the necessity of sustainable practices. Our goal is to help solve pressing environmental and social challenges,” said Popović.
Clients who successfully complete their green projects with financing from this credit line will also be eligible for grants of up to 10 percent of the loan amount.
Hill Hennebry, team leader for sustainable economic development and education at KfW in Southeast Europe and Turkey, emphasized the bank’s continued support for Banca Intesa and the importance of green transformation in Serbia. “KfW is committed to assisting financial institutions in offering investments for energy efficiency and renewable energy projects, facilitating their deeper integration into the local financial market. Small and medium-sized enterprises are key drivers of economic growth, and we appreciate the role of local governments in raising awareness about environmental pollution and climate change.”
Over the course of more than 16 years of cooperation, Banca Intesa and KfW have provided a total of €221.5 million in funding to support citizens and the economy in Serbia. Nearly a third of these funds have been directed towards energy efficiency improvements and other green initiatives, while the remaining funds have been used to enhance the competitiveness of micro, small, and medium-sized enterprises, agricultural farms, and local governments.
