FIF - Go Digital in WB - Addiko Bank Banja Luka
Project Overview:
This project involves providing a senior secured loan of up to €3 million to Addiko Bank Banja Luka (ABBL) as part of the FIF - Go Digital in the Western Balkans Programme.
Project Objectives:
The primary goals are to:
- Boost Innovation and Competitiveness: Support targeted investments among SMEs to enhance their use of digitalisation and automation technologies, making them more competitive.
- Green Transition: Promote the adoption of "GET technologies" (Green Economy Technologies) and help SMEs comply with EU environmental standards.
- Trade Potential and Financial Access: Increase SMEs' capacity and trade potential by providing easier access to financing, enabling them to invest in EU-aligned practices.
- Equitable Finance for Women-Led SMEs: Ensure women-owned SMEs have equal access to funding for automation and digitalisation, improving their competitiveness and sustainability.
- Regional Training Academy: Establish a Regional Training Academy to equip MSMEs with essential business skills, focusing on resilience, growth, and regional collaboration.
Transition Impact:
- ETI Score: 65
- Competitiveness and Green Transition: The program strengthens SMEs' competitiveness and encourages investments aligned with EU Directives, fostering digitalisation in underperforming regions.
- Environmental Sustainability: Invest in green technologies to drive the region's transition to a more environmentally friendly, lower-carbon economy.
Client Information:
- Addiko Bank Banja Luka (ABBL): A universal bank operating in Republika Srpska, part of the international Addiko Bank AG group. Specialises in retail and SME services, including consumer lending, payment services, and SME financing through a network of branches and ATMs.
Financial Details:
- EBRD Finance: €3,000,000
- Total Project Cost: €3,000,000
Additionality:
Combines mid-term financing with technical assistance and targeted investment incentives to support automation and digitalisation in SMEs in Bosnia and Herzegovina.
Gender SMART Component:
Promotes equitable access to finance for women-led SMEs, offering specialised training to enhance digitalisation readiness, project appeal, and gender-responsive outreach strategies.
Environmental and Social Considerations:
- Category: FI (ESP 2024)
- Client's System: ABBL has an established Environmental and Social Management System (ESMS) aligned with its environmental and social risks.
- Risk Assessment: Low to medium environmental and social risk.
- Compliance: ABBL complies with applicable Performance Requirements through its 2024 annual reporting, and the ESMS appears well-implemented.
Paris Agreement Alignment:
The project aligns with the Paris Agreement through the EBRD's approach for indirectly financed investments, focusing on pillar 1 (counterparty commitment) and pillar 2 (sub-transactions filter). 60% of EBRD financing is classified as green finance.
Technical Cooperation and Grant Financing:
- Total Grant Funds: €4,480,000 (Technical Cooperation) + €22,500,000 (Investment Incentives)
Contact Information:
- Company: Addiko Bank Banja Luka
- Contact: Filip Dursun (filip.dursun@addiko.com, +387 51 336 624)
- Website: https://www.addiko-rs.ba
- Address: Aleja Svetog Save 1378000, Banja Luka, Bosnia and Herzegovina
Access to Information and Accountability:
- EBRD Policies: The EBRD's Access to Information Policy and Environmental and Social Policy outline transparency and stakeholder engagement practices.
- Independent Project Accountability Mechanism (IPAM): IPAM provides a mechanism for addressing environmental, social, or public disclosure concerns that cannot be resolved through other means.
