MOBIASBANCA SME CREDIT LINE

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Project ID 35088

Status Complete

Location

Moldova

Business Sector

Financial Institutions

Notice Type

Private

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Project ID 35088

Status Complete

Location

Moldova

Business Sector

Financial Institutions

Notice Type

Private

Environmental Category

Approval Date

20 Jul 2004

Disclosure date

15 Jun 2004

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project Description

The proposed project comprises a $2 million credit line to Mobiasbanca (MB). The proceeds of the credit line will be used to provide medium-term loans to private Moldovan small and medium sized enterprises (SMEs) mainly for financing investment purposes and working capital.

Transition Impact

The credit line to MB is an important continuation of the EBRD's financial involvement in the Moldovan banking sector, which has been significantly strengthened and improved through equity investments, implementations of micro-lending programs, SME credit lines, and Trade Facilitation Programs to various banks. Currently the main transition challenges will be increasing the financial intermediation (which is still very low) and improving access to long-term finance for private sector businesses.

Thus, the main transition impact of the project consists of supporting the development of a leading middle bank in Moldova fully dedicated to SME sector and enhancing its ability to meet the increased demand for medium-term funding from domestic private SMEs.

The Client

MB, founded in 1990 as a private financial institution is at present a universal financial institution with particular focus on SME clients. It is the sixth largest bank in Moldova with 5.9% of the banking assets, 6% of all loans and 4.5% of the total deposits in the banking system. Its clientele is over 28,250 clients and its network includes a head office, 9 branches and 9 representative offices in Chisinau, Ungheni and Anenii Noi.

The largest shareholder of MB is Development Capital Corporation Moldova (DCCM) holding 63.68% of MB’s capital. It is wholly owned by New Century Holding (NCH) Fund, USA. NCH is working under an agreement with OPIC and is subject to rigorous overseeing by OPIC.

MB's growth has been supported by the EBRD since 1999 through micro-lending credit line of $1 million repaid in full by 2001 and Trade Facilitation Programme finance of up to $4.5 million.

EBRD Finance

Secured senior loan of $2 million extended for a period of 5 years.

Project Cost

$2 million.

Environmental Impact

MB will be required to comply with EBRD's Environmental Procedures for Intermediated Finance through Local Banks as revised in 2003, including compliance with applicable national environmental, health and safety requirements, adherence to the Environmental Exclusion and Referral List and submission of annual environmental reports to the Bank.

Technical Cooperation

No TC funds are envisaged in support of this project.

Company Contact

Mobiasbanca S.A.
81-A Stefan cel Mare
Chisinau, MD-2012
Republic of Moldova

Phone: (37322) 541974
e-mail address: info@mobiasbank.com

Transition impact

ETI Score:60

PSD last updated

01 Feb 2019

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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