Komercijalna Banka

completed

Komercijalna Banka is a commercial bank, lending to both larger clients as well as small- and medium sized enterprises (SMEs). The bank provides most standard banking services such as deposit taking, trade related financial services, working capital loans, medium-term loans, letters of credit and guarantees. The project consists of a Euro5 million loan package for onlending to SMEs for modernization/expansion needs and working capital. The project would have the dual objectives of easing the medium-term funding constraint of private sector enterprises, including SMEs, and at the same time supporting the institutional development of the FYR Macedonian banking sector, through the imposition of prudential financial covenants. The loan would also lengthen the average maturity of the funding base for Komercijalna Banka. With the project IFC would play an important role as provider of medium-term capital to SMEs, a sector which is severely underserved with term investment capital. In addition IFC will help the bank in appraising the subprojects by providing technical assistance to the credit department and help the bank in establishing prudent lending guidelines by imposing financial covenants.