EU Guarantee Fund for Small and Medium Enterprises

Supporting the development of small and medium enterprises is one of ProCredit Bank’s key strategic aims; therefore, the European Investment Fund (EIF) and ProCredit Bank are working together as partners to undertake this joint mission. To facilitate access to financing among BiH entrepreneurs, a Guarantee Fund Agreement amounting to EUR 20 million has been signed. The agreement aims specifically to support small and medium entrepreneurs who do not have adequate collateral for high-quality business projects.

Enterprises that wish to apply for the Guarantee Fund funds must:

  • be privately-owned, duly licensed and registered
  • have a solid financial standing, with a clean credit record and no history of missed repayments
  • have prior experience in the activity to be funded

The following types of loan are available:

  • Working capital annuity loan with a repayment period of 36 months
  • Investment annuity loan with a repayment period up to 120 months (max. loan maturity: 31.05.2023)

Main features of the loan:

Minimum amount: KM 50,000

Maximum amount: KM 977,915 (EUR 500,000 x 1.95583 = KM 977,915)

Maxiumum loan maturity: 31.05.2023.

Disbursement is through the applicant’s ProCredit Bank account. The funds must be used in accordance with the Guarantee Fund instructions.

Clients whose investments are funded or whose activities are supported by any other European Union Fund may not be funded through this Guarantee Fund. Clients whose business activity is included in the ProCredit Bank exclusion list will also not be funded.


This financing benefits from a guarantee issued under the ‘Western Balkan Enterprise Development and Innovation Facility’ financed by the European Union”.