EBRD Gives Euro 5M to Erste Bank Montenegro for Green Growth

• EBRD invests €5 million in Erste Bank Montenegro to finance green transition and inclusive growth 
• €3 million will go towards energy-efficient retrofits of homes, housing associations, and building firms 
• €2 million will assist women-owned businesses with growth and expansion capital 

The European Bank for Reconstruction and Development (EBRD) has deepened its financing for Montenegro's green transition and growth that is inclusive with a new €5 million loan package for Erste Bank AD Podgorica (Erste Bank Montenegro), to be on-lent to its customers. 

The money will be spent on two main things: €3 million will help households, housing associations, and builders make energy-efficient changes to their homes, and €2 million will give capital to women-owned businesses. In addition to loans, these programs will be supported by European Union-funded grants and guarantees. 

The signing ceremony was held in Tivat on 14 October 2025 at the Smart Growth, Green Future investment conference, hosted by the EU Delegation to Montenegro, the Government of Montenegro, and the Montenegrin Investment Agency. 

Charlotte Ruhe, the EBRD Managing Director for Central and South-Eastern Europe, affirmed that the focus of the partnership with Erste Bank Montenegro under the Women in Business and Green Economy Financing Facility (GEFF) programmes consisted of promoting women entrepreneurs and stimulating energy efficient practices for households. 

Aleksa Lukić, Chairman of Erste Bank Montenegro, pointed to the opportunity for the bank to advance its mission in supporting sustainable projects and enable women entrepreneurs with favorable financial products and educational programming. 

Johann Sattler, the EU Ambassador to Montenegro, acknowledged that the initiative respects Montenegro’s goal to join the EU and promotes inclusive economic development at a time when the country needs to address the economic impacts of the Covid-19 pandemic. 

The €3 million GEFF loan for energy-efficient investments includes a 20 percent incentive as an EU grant on the investments completed and technical assistance funded by the EU and Japan. The €2 million Women in Business loan also includes EU-backed guarantees to cover first-loss risk. 

The EBRD has committed over €1 billion to Montenegro through 101 projects in support of sustainable growth, investment in infrastructure, private-sector investment, and regional integration.  

The GEFF programme is co-funded by the EU, Austria, Japan, Denmark, and Switzerland, and supported by the High-Impact Partnership on Climate Action (HIPCA).  

The HIPCA partner countries are Austria, Canada, Finland, Germany, the Netherlands, South Korea, Spain, Switzerland, TaiwanICDF, the UK, and the USA.