MKB Romexterra focuses on SME financing

This partnership allows local SMEs to access non-reimbursable funds allocated for development, worth €50,000 (for existing SMEs) and €10,000 (for newly-established SMEs). MKB financing will cover at least 25 percent in non-reimbursable loans of the eligible value of a development project, with the beneficiary contributing no less than 15 percent from own funds, according to a bank’s document.

As of the beginning of this year, the structure of MKB Romexterra Bank has included new business lines, such as Project Financing, SME Financing, and Private Banking.

MKB’s long and medium-term strategies aim to obtain a 3.8 percent market share on the loan segment in the coming three years, from its current 0.8 percent, and a 3.6 percent market share on the savings segment from a present 1.1 percent level. MKB Romexterra Bank, subsidiary of the MKB-Bayern LB group, posted €3.8 million in net profit in the first half of 2007, due to investments in network expansion, a mod

ified organizational structure, recruitment and personnel training, and rebranding. Mid-year financial results were computed according to International Financial Reporting Standards (IFRS). In H1 2006, when

the bank used the Romanian Accounting Standards (RAS), the bank registered €4.49 mln worth of net profit.

Strategy 
MKB’s long and medium-term strategies aim to obtain a 3.8 percent market share on the loan segment in the coming three years, from its current 0.8 percent, and a 3.6 percent market share on the savings segment from a present 1.1 percent level.