The agreement between NOA sh.a. and the European Investment Fund is signed

December 2017 enabled the successful closing of a year full of challenges and positive developments for the financial institution NOA. It culminated with the signing of a bilateral cooperation agreement between the European Investment Fund (EIF) and NOA sh.a.

The cooperation contract consists of a guarantee agreement provided to microfinance institutions, in order to support small enterprises in Albania. The European Union Employment and Social Innovation Program (EaSI) is the instrument through which this agreement will be implemented with microfinance institutions.

NOA is one of the two microfinance institutions in Albania selected for the signing of this guarantee agreement, thus proving the credibility of the institution in the eyes of important international partners.

The Employment and Social Innovation Program was introduced on 22 June 2015 as a guarantee scheme funded by the European Commission and managed by the European Investment Fund. The purpose of this scheme is to increase the access of groups in need to microfinance institutions, enabling them to set up small enterprises or develop their businesses through loans of up to 25,000 EUR .

As stated by the Executive Director of NOA sh.a., Ms. Herjola Spahiu, for the institution this guarantee agreement enables the provision of a wider financial support for the family business, guaranteeing more simplified conditions for them. According to Ms. Spahiu, this program specifically aims at:

·   Increasing knowledge and skills for the development of innovative business plans and models;

·   Increasing job opportunities, and reducing unemployment in the country;

·   Providing professional consulting and assistance, in accordance with the tax systems in place;

·    Education on risk exposures and assessment of loan agreements;

·    Assistance in understanding the social impact of a well-established fiscal world, etc.

The allocated loan will be accredited by NOA sh.a. to small business through a product created specifically for this purpose, called “Progress”. The product will be offered in 27 branches of the institution throughout Albania, and will last for a period of 3 years.

This guarantee agreement and the financial product designed in accordance with it, fulfils the mission of the company which focuses on strengthening the small family business, giving it the financial strength to be an important factor in the development of the Albanian economy.