Maib agrees financial package with the EIB
Maib is pleased to announce the signing of financial package with the European Investment Bank, comprising of a senior loan and a risk-sharing instrument, which is backed by the European Union. The loan will amount to EUR 50 million for up to 10 years, enhancing financial accessibility and promoting green investments, offering Moldovan MSMEs and mid-caps favorable terms such as extended tenors, competitive interest rates, and currency denomination options. Companies eligible for funding will include small and medium-sized enterprises (SMEs) and midcaps. The additional partial portfolio guarantee, backed by the EU's European Fund for Sustainable Development (EFSD), extends EIB Global's support to the Moldovan private sector, facilitating an extra €44 million in loans to MSMEs.
As the largest bank in the country, maib recognizes the critical role that SMEs and midcaps play in driving the economy and creating jobs. With this loan, the Bank seeks to provide longer term stable financing for companies which might find it more difficult to access essential funds. By supporting the investment and working capital needs of firms, such facilities benefit the country, which is now experiencing an economic recovery.
Green finance focus
A specific focus of the loan is green finance, with 10% of the loan being allocated to Sub-Financings dedicated to green objectives. This signals support from the EU towards Moldova's green transition. The loan will prove to support both the country’s green transition, as described in the government’s “Moldova 2030” strategy, as well as maib’s sustainability strategy. The importance of the green transition as a mean to address the climate crisis is clear to the Bank, as such, maib understands its role in financing the sustainable ambitions of forward-looking firms.
Leader in the SME segment
Over the course of 2023, maib has consistently increased its market share in the SME segment. This has been achieved through continuous commitment towards SME clients by offering them innovative solutions and high-quality services. The renewable energy for sale loan product aimed at supporting the development of renewable energy projects based on photovoltaic technology is an example of such a innovative product, meant to help SMEs overcome the challenge of utilizing natural renewable resources to their advantage. Maib has also worked with the government to bring SMEs the “373” program, which increases access to financing for ambitious SMEs.
Maib SME Business Unit highlights from 2023:
- - Loan market share increased to 37%, up by 5.6 percentage points year-on-year, and by a whopping 64.4 percentage points since 2020.
- - Active consumers reached 36.6 thousand, up by 13.1% year-on-year, and by an impressive 28.9% since 2020.
- - Loan portfolio reached MDL 5.9 billion, up by 11% year-on-year, and by a staggering 113% since 2020.
- - The segment started a pilot of a modern internet/mobile banking solution in 2023, which is undergoing a wide rollout in 2024.
EIB Vice-President Teresa Czerwińska, responsible for the EIB’s activities in Moldova, said:
“This financial package will bolster local entrepreneurship, foster job creation and strengthen the resilience of Moldovan businesses, which is even more important now against the background of the war in Ukraine. MSMEs are the backbone of Moldova’s economy representing 60% of employment in the private sector. Strengthening and diversification of the Moldovan economy have become more urgent as the country advances towards EU membership. Together with our EU partners, we remain committed to assisting Moldova in developing a stronger economy, aiming to make it more competitive, innovative and inclusive.”
Macar Stoianov, CFO maib, commented:
“We are delighted to partner with the European Investment Bank and grateful for the trust it placed in us. Maib has very strong expertise in lending to Moldovan businesses across the sectors, and we possess the capacity to ensure that these long term stable funds will be put to good use for projects on the ground in Moldova to boost its economic development. EU backing of the portfolio guarantee will go a long way to fund micro, small and medium sized companies in Moldova. European integration is at the top of the country’s agenda, and maib is happy to play an active part in this journey. In addition to loans maib offers its business customers a top notch internet banking solution, a network of business centers with helpful relationship managers, a dedicated hotline, and a full array of payment services. Once again, we are grateful to the EU and the EIB for their partnership.“
About EIB Global
EIB Global is the EIB Group’s specialised arm devoted to increasing the impact of international partnerships and development finance outside the European Union. Since establishing its presence in Moldova in 2007, the EIB has channelled around €1.29 billion into projects, backing EU policy objectives across multiple sectors, such as transport, energy, MSMEs, agriculture and municipal infrastructure. The EIB cooperates with Moldova in the framework of the European Neighbourhood Policy and has recently stepped up its support to assist the country in the EU accession process. In 2023 the Bank signed loans for a total amount of €120 million to support both public and private sector projects.
About maib
Maib is the largest bank in Moldova, with a share of 34.3% of deposits and 37.4% of loans of the entire banking system at the end of 2023. Maib is a disciplined lender with NPL ratio of 2.7% and is well capitalised with CAR of 24.2% as of 31 December 2023. The Bank is of systemic importance to the country as it serves almost a third of the population and is the largest private employer in Moldova, with a workforce of over 2,400 people. Since 2018, maib's largest shareholder is a consortium, which includes the European Bank for Reconstruction and Development (EBRD), Invalda INVL, a leading asset management group in the Baltic States and Horizon Capital, a private investment fund focused on emerging markets
