Financial sector programme II

Description

The financial sector programme supported the expansion of sustainable lending with the goal of improving the housing situation of private households with low to medium incomes in rural areas. Furthermore, the project was designed to strengthen the national financial system. Alongside providing refinancing resources to expand lending by banks and microfinance institutions, FC also provided funds for a complementary measure: the private financial institutions were supported by a consultant to develop loan offers for specific target groups and to disburse loans efficiently and profitably to private households. For this purpose, the Ministry for Economic Development and Trade (MEDT) received a EUR 7 million grant for both Phase I and Phase II of the project to refinance qualified financial institutions (Fl), and a grant of EUR 1.0 million for a complementary measure (CM).