What is the EBRD? The EBRD is an international financial institution set up in 1991 to promote the transition of Central and Eastern European countries and those of the former Soviet Union to a market economy as well as the process of privatisation of the economy. In order to carry out its mandate, the Bank, which operates closely with international and national financial institutions, acts directly by granting medium- and long-term financing and indirectly through financial brokers, granting credit lines and co-financing.
The bank has 62 shareholders, including all the countries of the European Union, the countries of operation, the European Commission and the European Investment Bank. In its role as catalyst of change, it fosters co-financing and direct foreign investments in the public and private sectors, and promotes local SMEs to improve productivity and commercial trends.
Italy's role: Italy is one of the EBRD's founding countries and holds 8.52% of the share capital, equal to the holdings of France, Germany, the United Kingdom and Japan (the United States holds 10%, Spain, Russia and Canada 4%, the EU and the EIB 3% and the other 51 members divide the remaining approximately 30%). The Bank's sphere of intervention is one of the directives of Italian trade and foreign investments.
Guidelines of the Bank's foreign policy. Conditions for loans, granted for projects lasting from five to ten years, vary in order to meet the funding needs of individual projects and market conditions. They can cover up to 35% of the project cost or share capital of the joint venture. In accordance with its mandate, the Bank must approve projects that can respond to three operating criteria: transition impact (the project must have a positive effect on the transition process); sound banking (the project must be financially solid) and additionality (the EBRD's role must be decisive for project realisation and not in competition with other projects of strategic investors).
The European Bank for Reconstruction and Development is a multilateral financial institution set up to benefit the Central and Eastern Europe Countries and the Commonwealth of Independent States.
The EBRD operates:
- Medium- and long-term financing and
- Shareholdings (including minority and temporary stock)
and indirectly through financial brokerage, granting
- Lines of Credit
- Share holdings and holdings in investment funds
- Trade services
- Bank shares
As a rule, the main conditions for project financing are: duration of five to ten years, with a grace period and rates (generally the Libor plus a spread) that vary on a case by case basis, partly depending on the conditions applied by brokers. EBRD financing can cover up to 35% of the project cost or share capital of the joint venture. The EBRD receives front-end and management commissions and requires real guarantees on investment project assets.
EBRD information requirements for private sector financing click here
To subscribe to the mailing list for Alternative sources of finance for small and medium-sized projects, fill in the questionnaire click here and fax to the EBRD Publications Desk: +44 171 338 6139.
Please the EBRD factsheets illustrating procedures for applying for financing: Approaching the EBRD
HOW TO CONTACT THE EBRD
Project enquiries and proposals:
Tel: +44 171 338 6282/6252
Fax: +44 171 338 6102
Consultants should contact:
Consultant Contracts Unit
Tel: +44 71 338 6066
Fax: +44 71 338 6097
General enquiries about the EBRD:
Tel: +44 171 338 7931/7236
Fax: +44 171 338 6690
Tel: +44 171 338 6794
Fax: +44 171 338 7472
The EBRD produces a range of publications and regularly updated factsheets. They provide further information about the Bank, its projects and financing instruments, and about progress in transition in each of its countries of operations.
Tel +44 171 338 7553
Fax: +44 171 338 6690
Business Information Service
Subscription-based service providing business information about each of the EBRD's countries of operations.
Business Information Centre
Tel: +44 171 338 6361
Fax: +44 171 338 6155
European Bank for Reconstruction and Development
One Exchange Square, London EC2A 2JN , United Kingdom
Switchboard/central contact: Tel: : +44 (0)20 7338 7307 / Fax: +44 (0)20 7338 7451