The agreement will allow UniCredit Leasing, the market leader in Romania’s leasing sector, to extend its reach to smaller companies that need to upgrade their fixed term assets. UniCredit Leasing is a subsidiary of UniCredit Bank S.A., a long-term IFC client. The loan is also part of IFC’s strategy to work with banks and financial institutions across the region to strengthen their lending capacity to underserved sectors.
“UniCredit Leasing Corporation has an ongoing strategy of supporting smaller companies in Romania,” said Mircea Cotigă, CEO of UniCredit Leasing. “With this new loan, we enforce our long-term commitment to encouraging this segment. In the months to come, we will focus on healthy sustainable growth in the local market and further diversifying our SME portfolio.”
This is IFC’s first local currency loan to a leasing company, to help the sustainable development of Romania’s growing leasing market, while eliminating cross-currency mismatches. Leasing is an attractive alternative for SMEs, especially for small and young companies unable to obtain bank loans because of their lack of credit history.
“Leasing companies are essential to drive IFC’s SME programs across Europe and Central Asia,” said Kudret Akgun, IFC EMENA Regional Manager for the Financial Institutions Group. “With this agreement with UniCredit Leasing Corporation, we are aiming to reach smaller and mid-size companies in Romania and increase their access to finance, enabling their future growth.”