The investments of the European Fund for Southeast Europe (EFSE) in Moldova will amount to 35 million euros by the end of the year, the representative of EFSE in Moldova, Vazha Maisuradze, told a press conference organised on 22 June, for the official opening of the representation in Chisinau. The Fund launched its official activity in Moldova aiming to finance small and medium sized enterprises, families and farms. The institution started operating in Moldova in 2006 and is presently working with four partner institutions from the field of microfinance and mortgage financing, including the banks “Mobiasbanca” and “Moldova-Agroinbank”. By the end of the first quarter of the year 2007, the EFSE funds in Moldova were used for refinancing 431 loans by the small entrepreneurs, farmers and families. The EFSE credits will be given through the local partners of the fund and will be available via financial structuring or via credit lines. The governor of the National Banks, Leonid Talmaci expressed his certitude that EFSE will contribute to promoting some new financial instruments and credit mechanisms in Moldova. “I believe that the activity of foreign non-banking institutions on the financial market of Moldova and the accumulated experience by these will contribute to enriching the levels of information in the field on the local market and will therefore contribute towards building a strong and competitive financial sector. Under such circumstances, several strategic research procedures will be undertaken from abroad in order to stimulate the continuous consolidation of the local financial system”, the governor mentioned. EFSE Chief Investment Officer, Klaus Maurer, mentioned during this event that EFSE is one of the largest financial development funds in the world, having a total financial portfolio of 272 million euros. The Fund hopes to continue its rapid ascension and to reach an approximate 400 million euros in loans approved by the end of 2007. The EFSE funds are constructed by the contributions made by donors, from funds allocated by international financial institutions, private institutional investor and amounts to 436.7 million euros. The EFSE was created in December 2005, at the initiative of donors.