BULGARIAN SME AND TOURISM FRAMEWORK FACILITY

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Project ID 5954

Status Complete

Location

Bulgaria

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 5954

Status Complete

Location

Bulgaria

Business Sector

Financial Institutions

Notice Type

Private

Environmental Category

Approval Date

30 Nov 1999

Disclosure date

14 Aug 2000

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

This DEM 40 million facility will provide credit lines to local banks to extend loans to local small and medium- sized enterprises (SME) in the tourism and associated sectors. A €5.1 million loan has been extended to the first participating bank under the facility, the Bulgarian American Credit Bank (BACB). The size of the sub-projects will be between DEM 0.2 and 2 million.

The Project will aim to provide long-term financing to the Bulgarian SMEs. A substantial proportion of the funds are expected to be disbursed to companies operating in the tourism sector.

Transition Impact

SMEs play an important role in promoting private sector development and driving growth in transition economies. A critical obstacle in the development of the tourism sector in Bulgaria has been the limited access to long-term financing. The facility will act as a model for other businesses in supporting post-privatisation restructuring and encouraging private ownership.

The Client

The facility will be extended to selected Bulgarian banks. The first participating bank under the facility is the Bulgarian American Credit Bank, a Bulgarian bank, wholly owned by the Bulgarian American Enterprise Fund (BAEF). Since 1992 the BAEF and BACB have been amongst the very few sources of long-term finance to SMEs in Bulgaria.

EBRD Finance

The first loan provided under the facility is a €5.1 million senior loan with seven-year maturity.

Project Cost

DEM 40 million for the Facility.

€5.1 million for the Loan to BACB.

Environmental Impact

The participating banks will follow the EBRD's Environmental Procedures for Local Banks in relation to all sub-loans financed through the credit line. In implementing these procedures, the banks will assess potential environmental issues associated with sub-projects, which are required to comply with local/national health, safety, environmental and public consultation requirements and with World Bank environmental guidelines applicable to the tourism sector.

Technical Cooperation

€70,500 was approved for carrying out a market study of the Bulgarian tourism sector.

Company Contact

Transition impact

ETI Score:35

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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