EIF and JOBS MFI, part of the BDB Group, join forces to support the Bulgarian small and medium-sized business
BGN 10 m envisaged to support 320 micro-enterprises
Micro financing institution JOBS, part of the BDB Group, signed its first guarantee agreement with the European Investment Fund (EIF) for support of the small and medium-sized business in Bulgaria under the European Commission’s Program for Employment and Social Innovation (“EaSI”). The purpose of the program is to support non-banking financial institutions dedicated to sector of smaller entrepreneurs in Bulgaria. The aim is to improve their access to financial services and to support the job creation and local economic development.
“The agreement between EIF and JOBS MFI will improve the access to finance for micro-enterprises operating particularly in rural areas characterized by a slower economic development”, said Alessandro Tappi, EIF Chief Investment Officer. The operation is backed by an EU budget guarantee under the Invetsment Plan for Europe- the Juncker Plan, and its European Fund for Strategic Investment.
“This is the first direct agreement between JOBS MFI and EIF under the Juncker Plan, and is a logical continuation of our participation in the Progress Microfinance Program”, said the CEO of JOBS MFI Angel Djalazov.
The EaSI Guarantee Program will mobilize BGN 10 m for the benefit of 320 micro-enterprises. It will support investment and working capital loans, either with fixed repayment schedule or revolving. The agreement will cover also micro-leases granted to micro-enterprises and self-employed persons active in various sectors of the economy, including start-ups, with a particular emphasis on enterprises created by young entrepreneurs, women, artisans and small farmers.
JOBS Micro Financing Institution is part of the Bulgarian Development Bank Group. Its main purpose is to facilitate the access to long-term financing of the micro and small businesses, agricultural producers, freelancers, craftsmen and others who develop or start new business, thereby creating jobs and value-added products. JOBS MFI nurtures the successful development of the micro businesses and has supported 2,600 companies so far with over EUR 17m.