The Green for Growth Fund, Southeast Europe (GGF) and Komercijalna Bank AD Belgrade signed a EUR 23 million loan agreement to fund the Bank's new energy efficiency loan program, which will provide private households, small and medium enterprises, corporations, public utility companies and municipalities in Serbia with access to long-term credit products for energy efficiency improvements.

Komercijalna Banka is one of the largest banks in Serbia in terms of assets and has the largest national branch network, which will help distribute the GGF financing throughout the country. By financing energy efficiency investments via the banking system in its target region, the GGF reaches a wide range of businesses in the private business sector as well as private households.

Komercijalna Banka will use the GGF financing to finance investments in energy efficiency projects, such as improvements to building envelope and the replacement of outdated production and heating equipment. This will help local businesses and private households reduce emission levels, energy consumption and costs.

It is envisaged that the GGF loan to Komercijalna Banka will result in total energy savings of 92,000 MWh per year and an annual reduction in CO2 emissions of 30,000 tons.

"We are delighted Komercijalna Banka is joining the GGF in promoting energy efficiency initiatives in Serbia. With this loan the GGF will help reduce the country's energy consumption while supporting businesses in Serbia in the use of highly efficient technologies as a means of improving competitiveness", said Dominique Courbin, Member of the GGF Board of Directors.

"The recently signed Agreement brings a new quality to the loan portfolio of Komercijalna Banka. It not only represents an increase in our lending capacity and diversification of the existing array of products, but is also a new step on the path the Bank has been treading for a long time, one of responsibility towards the environment and its preservation in what is probably the most important aspect of global preservation of the planet – energy efficiency", said Dragan Santovac, Deputy President of the Executive Board of Komercijalna Banka, on the occasion of signing the Agreement.

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