Kosovo Credit Guarantee Fund and TEB Bank sign agreement on the “Green Deposit” instrument
The Kosovo Credit Guarantee Fund (KCGF) and TEB Bank Kosovo signed a cooperation agreement today to implement the new “Green Deposit” financial instrument, an innovative initiative aimed at supporting businesses in financing sustainable investments and accelerating Kosovo’s transition towards a green economy.
Through this instrument, KCGF places dedicated deposits with partner banks, which will be used exclusively to finance projects and investments that contribute to environmental protection, energy efficiency, renewable energy and other activities classified as green investments. In line with the project’s mission to support Kosovo enterprises in adopting sustainable and competitive business practices, the “Green Deposit” instrument promotes green investments, improves resource efficiency, strengthens business competitiveness and advances the transition towards a more sustainable and greener economy. This initiative is supported by the “Greening Private Enterprises in Kosovo” (GPEK) project. GPEK is a project of the Swiss Agency for Development and Cooperation (SDC), co-funded by Sweden and implemented by Helvetas.
The agreement with TEB Bank represents an important step in expanding the implementation of the “Green Deposit” instrument and strengthening cooperation between KCGF and the banking sector in support of sustainable investments. The instrument aims to create more financing opportunities for businesses investing in green solutions and to help strengthen Kosovo’s green finance ecosystem.
Through the “Green Deposit”, KCGF complements its existing financing support mechanisms with an additional instrument. The instrument therefore aims to encourage a more strategic use of capital and support a more active role for financial institutions in financing the green transition.
During the signing ceremony, representatives of KCGF and TEB Bank highlighted the importance of cooperation between institutions in creating new financing opportunities for businesses and supporting the country’s sustainable development objectives.
The “Green Deposit” is designed to provide a transparent and reliable mechanism for financing green investments, ensuring that dedicated funds are used solely for activities that meet the defined sustainability criteria and helping to prevent greenwashing.
Statement by the Managing Director of KCGF
“The launch of the ‘Green Deposit’ instrument marks an important step in our efforts to advance green finance in Kosovo. Through this agreement with TEB Bank, we are establishing a concrete mechanism that directly links financial resources to investments that generate long-term environmental and economic benefits. This initiative is also supported by the ‘Greening Private Enterprises in Kosovo’ (GPEK) project, funded by the Swiss Agency for Development and Cooperation (SDC), co-funded by Sweden and implemented by Helvetas, which promotes green investments and the adoption of sustainable practices by Kosovo businesses.
At the Kosovo Credit Guarantee Fund, we believe that the transition towards a more sustainable economy requires not only commitment, but also innovative financial instruments that enable the private sector to invest in greener technologies and practices. The ‘Green Deposit’ is precisely such an instrument, supporting sustainable investments while also strengthening the financial sector’s role in addressing climate and environmental challenges.
We are pleased to have TEB Bank as a partner bank for this instrument and believe that this cooperation will serve as a successful model for the further expansion of green finance in Kosovo. Together, we are building a financial ecosystem that is more sustainable, more innovative and more focused on the country’s long-term development.”
Statement by the Managing Director of TEB Bank
“At TEB Bank, sustainability is one of the key pillars of our long-term strategy and an essential element of how we support Kosovo’s economic development. We are pleased to cooperate with the Kosovo Credit Guarantee Fund in implementing the innovative ‘Green Deposit’ instrument, which will provide businesses with easier access to financing for investments that create long-term economic and environmental value.
This agreement reinforces our commitment to supporting our clients in their transition towards more sustainable business models by financing projects that contribute to energy efficiency, the use of renewable resources and a reduced environmental impact.
We believe that the banking sector has a key role to play in driving the green transformation of the economy and that partnerships such as this are essential to creating a modern, responsible and forward-looking financial ecosystem. We thank KCGF for its cooperation and are confident that this initiative will deliver tangible benefits for Kosovo businesses and the country’s sustainable development.”
