EBRD extends its mandate in Greece

By Olga Aristeidou

EBRD extends its mandate in Greece

  • EBRD governors approve extension of Bank’s mandate in Greece
  • EBRD to continue engagement with investment and policy dialogue until 2025
  • Extension illustrates Bank’s commitment to the country

The shareholders of the European Bank for Reconstruction and Development (EBRD) have agreed to extend the Bank’s mandate in Greece until 2025.

The extension of the mandate will allow the EBRD to continue supporting the Greek private sector, improving competitiveness and strengthening the regional integration of the local economy with EBRD investment and policy engagement.

Recognising the EBRD’s contribution to Greece’s recent economic recovery and the benefit of further engagement by the Bank, the Greek authorities requested an extension of the EBRD mandate in March 2018.

EBRD President Suma Chakrabarti said: “With its investments and support for Greece so far, the EBRD has demonstrated its ability to respond quickly to the country’s economic requirements. The extension of the mandate illustrates our continued commitment. We are now ready to do more to support Greece in its economic recovery.”

The EBRD started investing in Greece in 2015 based on a temporary mandate which was due initially to run until 2020.

The Bank has invested over €2 billion in more than 42 projects in the country to date. In 2017 alone, annual business investment reached €614 million, all in the private sector, placing Greece among the top five EBRD countries of operations for that year.

Notable examples of EBRD investments in Greece include: the stabilisation of the banking sector with the acquisition of equity stakes in the country’s four systemic banks; a participation in the modernisation of regional airports; a framework for renewables; the launch of the Advice for Small Businesses (ASB) programme in Greece, which supports small and medium-sized enterprises; and support for Greek banks to resolve the persisting challenge of high levels of non-performing loans.