Pristina, September 20, 2018 – The Kosovo Credit Guarantee Fund (KCGF), signed a guarantee agreement with Raiffeisen Leasing in Kosovo (RLKO). The agreement will enable the RLKO to obtain additional collateral security for leases issued to micro, small, and medium enterprises (MSMEs), hence providing the easier access to finance for Kosovar companies. The agreement aims to increase leasing for Kosovar businesses, contribute to the job creation, economic growth, as well as enhance opportunities for underserved economic sectors and populations including women, minorities, farmers, entrepreneurs, and youth.
The RLKO is the first Non-Bank Financial Institution (NBFI) that has signed the guarantee agreement with FKGK. We believe that the agreement with the RLKO will boost the contribution of the institution toward the guarantee portfolio development and the achievement of the agreement aims.
Total amount of approved loans by Registered FI that were submitted under guarantee coverage reached already around EUR 62 million distributed in 1600 loans.
What is the procedure for businesses to benefit from it? Businesses will apply for a loan/leasing at a bank or leasing company as usual, going through the procedures of the respective institution. If the value of the prospective borrower’s mortgage/collateral is not sufficient or other terms are not fully met, the bank may decide to qualify the business and issue the loan, using the KCGF guarantee.
Businesses will not approach the KCGF to request the guarantee. The signing ceremony took place at the KCGF offices located at Anton Cetta Str. 5A in Pristina.