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The European Bank for Reconstruction and Development is providing a EUR 3 million loan to Mikrokreditna Fondacija Mi-Bospo Tuzla to support, with sub-loans, various micro and small businesses, especially enterprises run by women and active in the agribusiness sector Bosnia and Herzegovina, the EBRD said.
Mi-Bospo is the fourth-largest microfinance institution in Bosnia and Herzegovina and was established as a World Bank pilot project in 1996.
The EBRD funds will allow Mi-Bospo to expand and provide more finance to local and regional businesses with growth potential.
Access to finance remains an obstacle for many small firms in Bosnia and Herzegovina despite the fact that they form the backbone of the country’s economy, the EBRD said.