The European Bank for Reconstruction and Development (EBRD) has allocated a senior secured loan of up to $2 million (1.7 million euros) to RER Modern Hides LLC, one of the largest producers and exporters of semi-finished and finished leather hides in Azerbaijan, Report informs referring to the bank’s message.
The company is seeking financing for the construction of a new modern production plant and auxiliary facilities that will enable RER Modern Hides to improve the quality of manufactured leather hides and expand the product variety reaching wider customer base and export markets.
The total project cost is $4.4 million.
“The DFF SME framework primarily targets the ‘Competitive’ quality by helping SMEs to restructure and become more efficient or professional. Sub-projects can target any of the other transition qualities as secondary objective. The project is supporting framework objectives by supporting an SME in the following areas: ‘Competitive’ and ‘Integrated’,” the bank noted.
EBRD is the leading institutional investor in Azerbaijan. To date, the bank has invested 3.1 billion euros in 175 projects in the country. It also provides business advice to local SMEs and has helped over 1,000 businesses improve their performance and grow.