Telecommunications

EBRD guarantees Banka OTP Albania loan to ONE Telecommunications

TIRANA (Albania), October 5 (SeeNews) – The European Bank for Reconstruction and Development (EBRD) has announced that it will provide 1 million euros ($1.2 million) to guarantee a loan of 2 million euros from Banka OTP Albania, part of the Hungarian financial services group OTP, to ONE Telecommunications in Albania.

The financing, agreed under a risk-sharing mechanism between the two financial institutions, will support ONE Telecommunications’ expansion in the country, the EBRD said in a statement on Monday.

“Improving the competitiveness of the private sector through wider access to finance is one of the priorities of the EBRD in Albania and we are happy to go further by supporting ONE Telecommunications with our partner Banka OTP Albania. Our partnership will enable ONE Telecommunications to connect more Albanians, which is increasingly important in our digitalized world,” Ekaterina Solovova, EBRD Country Director for Albania, said in the statement.

Banka OTP Albania has been part of the EBRD’s Risk Sharing Framework (RSF) since May 2019. The RSF allows partner banks to share with the EBRD their exposure to loans they provide to local businesses through participation funded or unfunded risks, contributing to the strengthening and expansion of local entrepreneurship.

To date, the EBRD has invested €1.68 billion in 115 projects in Albania.

($ = 0.8622 euros)