The European Bank for Reconstruction and Development (EBRD) has joined forces with partner banks in Central Asia, eastern Europe and the Western Balkans to boost private-sector finance to local companies.

The Bank is participating in nine loans, worth a total of US$38 million, extended by partner banks through the EBRD’s Risk Sharing Framework (RSF). Under the RSF, the partner banks will channel much-needed funds to and create new growth opportunities for local enterprises. The loans will support the working-capital needs of domestic businesses, help them expand their operations and improve their climate resilience.

The EBRD is sharing the risk on a US$ 2.2 million equivalent loan provided by Kazakhstan’s Bank CenterCredit to Viva Pharm, a manufacturer and distributor of pharmaceuticals, to help expand its production. In another joint transaction with Bank CenterCredit, the EBRD will share up to 50 per cent of the risk on a US$ 1.1 million local-currency equivalent loan to packaging producer Intellpack. It will use the financing to fund capex investments in its production line, enhancing the company’s resource and energy efficiency.