The Development Bank of Montenegro achieved a 35 percent growth in placements in the first quarter of this year compared to the same period last year, when it operated under the name Investment and Development Fund (IDF).
The President of the Board of Directors of the Development Bank, Nikola Tripković, announced that the bank is planning stronger support for the Montenegrin economy this year in the amount of 200 million euros, which is 33 percent more than the plan for last year.
The plan will be implemented this year within 16 financial support programs for the Montenegrin economy, with a focus on development priorities in line with the Government's economic policy.
"We started the year very ambitiously. In the first quarter, we achieved a total placement of over 46,5 million euros, which is 35 percent more than in the same quarter of the previous year. We offer new support programs, intended for entrepreneurs, micro, small, medium and mid-cap companies, with the most favorable financing conditions, when it comes to longer repayment terms and the possibility of using a grace period, with a fixed interest rate," said Tripković.
He added that the Development Bank also provided special benefits in the form of incentives, i.e. reductions in interest rates, for companies implementing projects in municipalities in the northern region and municipalities that are below the average level of development in Montenegro.
Tripković announced that Razvojna banka has already provided lower interest rates by 0,5 percentage points for investments compared to the previous year, and that lending conditions will be continuously improved.
"I would like to emphasize that the focus will be on investments, because it is precisely by increasing the scope of investments that we contribute to improving the living standards of citizens and reducing the unemployment rate in the country. Our role will not only be credit, but we will also become market educators, recognizing and creating opportunities for progress and innovation," Tripković added.
According to him, the Development Bank does not have as its primary goal the acquisition of profit, but rather a development component.
"We want to contribute to the creation of new values, contributing to the development of the Montenegrin economy, by financing sustainable, quality business ideas," Tripković emphasized.
He emphasized that the Development Bank did not stop working for a single day during the transformation period, but rather this institution worked diligently to ensure that all work started at the IRF continued smoothly and was completed this year, within the framework of the newly established Development Bank.
"We have officially started operating since the new year, without any disruptions in providing services to clients, although we have successfully completed a very complex process related to the institution's registration, as well as changes to the organizational structure. I am proud of the fact that as a team we have successfully carried out this phase of transformation and, in addition, managed to record a very large growth in placements in this first quarter," said Tripković.
The Development Bank is working diligently to fulfill all obligations under the Law on the Development Bank in accordance with the defined deadlines.
"Our goal is to change our market presence and build a bank that will be customer-oriented, proactive, dynamic and flexible. We are also working on improving our relationships with clients, with a proactive approach, in order to improve their overall experience, through education and advice for easier access to funds," said Tripković.
He added that they will focus on supporting their clients' business development by having their loan officers become small business partners to their clients, helping them make better decisions regarding their financial needs.
Tripković announced that the Development Bank, as a state financial institution, will continue to support women in business, youth, individual agricultural producers and other vulnerable groups facing challenges in accessing financial resources.
"We will strive to be the leader of the investment cycle and development, in order to strengthen local production, which should contribute to reducing imports and strengthening exports. To that end, we are also developing a credit line to support production. In the coming period, the emphasis will be on strengthening the competitiveness of micro, small and medium-sized enterprises. The priority is to preserve existing and create new jobs through continued cooperation with relevant ministries, the economy and local governments," said Tripković.
The focus of the Development Bank's activities is on financing priority sectors (tourism, agriculture, manufacturing, energy), then supporting the development of entrepreneurship through financing special target groups (youth, business beginners, women, individual agricultural producers), supporting sustainable development through green and digital transitions, and supporting balanced regional development with the aim of improving the quality of life.
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