Patria Credit takes out EUR 7 mln loan from Black Sea Trade and Development Bank

Newsroom 10/12/2013 | 10:38

The Black Sea Trade and Development Bank (BSTDB) has granted a EUR 7 million loan to Romania’s Patria Credit, the leading non-bank finance institution, which will be used to finance micro and small enterprises across Romania.

Patria Credit will also use the fresh financing to sustain businesses in remote areas of the country, which have limited access to loans.

Mustafa Boran (in picture), BSTDB president, said: “Enhancing access to affordable financing for small enterprises, particularly to those outside of major cities, is crucial for the development of the Romanian economy.”

“In the current economic setting, the BSTDB loan will improve confidence to the non-bank financial sector and contribute to the expansion and strengthening of financial services in Romania,” he added.

Patria Credit is controlled by the Romanian American Enterprise Fund with a 56 percent stake and the Balkan Accession Fund by 43 percent, out of which a 9 percent stake is owned by the BSTDB.

The company had EUR 66 million in assets and EUR 20 million in shareholders’ equity as of June 2013. It has granted EUR 35 million through 5,000 new loans this year. Close to half of the fresh lending targeted micro- and small family farms. Patria Credit operates a network of more than 40 branches across Romania.