Kaufland to enter 20 small towns with money from EBRD

The loan granted by the European Bank for Reconstruction and Development (EBRD) to food discount retailer Kaufland will be used to finance the construction and operations of 20 stores on the Romanian market, most of which will be located in small towns, with a low purchasing power, according to an EBRD release. The German network invests 8 million euros on average in a new store, having taken out a 150 million-euro loan from the EBRD in June, which targets expansion projects in Romania and Bulgaria. Kaufland is the first hypermarket chain to approach small towns, of 25,000-40,000 inhabitants, whereas its rivals Carrefour, Real, Auchan and Cora avoid towns with less than 100,000 inhabitants. Towns targeted by the retailer include Falticeni (Suceava), Comanesti (Bacau) and Campulung Muscel, according to recruitment ads.