Financial system development

completed

The aim of the FC project is to set up a credit guarantee fund in Kosovo to secure loans to micro, small and medium-sized enterprises (MSMEs). By promoting the investment activities of MSMEs, the fund is intended to contribute to increasing growth and employment in Kosovo. The partners for the KGF are selected financial institutions in Kosovo. The target group are MSMEs with low credit collateral. In particular, but not exclusively, it concerns MSMEs in agriculture, the processing of agricultural products, breeding and fattening farms, private educational and care facilities such as daycare centers, providers of private educational programs and outpatient care services, as well as freelance activities such as doctors, engineering firms and architects. What these companies and professional groups have in common is that their activities require long-term and sometimes expensive investments, but often, as in the processing of agricultural products, there is no land to secure the financing. If there are also sectors in which there is a high need for risk-taking, these can be included at any time afterwards. Due to the need for financing, the project is to be implemented as a multi-donor initiative.