Algeria
A digest of recent news from the EBRD
Algeria set to join the EBRD
EBRD shareholders approved the application by Algeria to become a member of the Bank this week. The government in Algiers made a request for membership in March with a view to becoming a recipient of EBRD finance and advisory services in the future.
The news was reported on Middle East Confidential and Aawsat.
“Remote working is here to stay”
In a live interview with the BBC Radio 4 “The World at One” show, EBRD Chief Economist Beata Javorcik set out the changes the coronavirus pandemic will bring to the way we live and work. “Remote working is here to stay”, she said. This will also fundamentally reshape our cities: “We will see the rise of new pockets of prosperity. Smaller locations will be seen as more attractive.”
Beata Javorcik also spoke at the World Economic Forum's latest Global Economic Outlook briefing, warning that “the world must not sleepwalk into protectionism”.
Meanwhile, another outlook into the future was provided by EBRD economist Cevat Giray Aksoy. The Independent reported on his latest research paper which finds that robots are increasing the gender pay gap because women are more vulnerable to adverse effects of automation.
“As the coronavirus threatens supplies, one bank helps”
This was the headline chosen by the highly respected Austrian daily Salzburger Nachrichten for an interview with the Head of the EBRD Trade Facilitation Programme. Rudolf Putz set out the Bank’s response to the increased demand for trade finance. In the current global crisis, “sometimes we are the only one to take on certain risks”, he said. In order to support the continuation of vital trade the EBRD Board earlier this month approved an increase of the Bank’s trade finance limit from €2 billion to €3 billion.
Stepping up private sector lending in Georgia
In Georgia, the EBRD is providing loan of up to US$ 100 million to Bank of Georgia for on-lending to local private businesses to address the economic impact of the coronavirus pandemic. Bank of Georgia has been financing businesses in all sectors for almost 30 years and is listed on the London Stock Exchange.
Supporting development of sustainable industrial real estate in Romania
The industrial real estate sector in Romania was boosted by the EBRD with a €150 million loan thanks to Warehouses De Pauw (WDP). The Belgian developer will invest in new logistic hubs, enhancing Romania’s infrastructure and creating jobs.
First risk participation in the SEMED region
For the first time since the start of operations in the SEMED region, the EBRD has launched a project under its Risk Sharing Framework. Bank Al Etihad will receive an unfunded guarantee of US$ 5 million in support of one of the leading garment manufacturers and exporters in Jordan.
Supporting first solar plant in Armenia
Armenia will be able to reduce its dependence on fossil fuels thanks to the country’s first solar plant, which will also be the first in the Caucasus. The EBRD is joining forces with the IFC and the European Union to finance the 55 MW power plant facility located in the Mets Masrik municipality.
Connecting Moldova…
Moldova’s state-owned railway company Calea Ferată din Moldova acquired twelve modern diesel locomotives with joint financing from the EBRD, the European Investment Bank and the European Union. The new engines will improve transport links for goods as well as for people and thus contribute to the country’s international integration.
… and Croatia
Croatia is taking a major step to deepening its European integration with the completion of its part of the Pan-European Corridor Vc motorway. The EBRD is providing a €55 million loan alongside the Croatian development bank HBOR to co-finance the remaining sections.
Small business support in North Macedonia
In North Macedonia, the EBRD provided a €20 million loan to Sparkasse Bank Macedonia for on-lending to local private businesses and corporates affected by the economic impact of the coronavirus pandemic.
“Montenegro must diversify”
The EBRD’s Head of Montenegro, Jaap Sprey, was interviewed by the business portal Bankar.me on the impact of Covid-19 on Montenegro’s economic forecasts and the need to diversify the economy, especially tourism.
IJGlobal award
The EBRD received an award from IJGlobal for the landmark Vinca project in Serbia, which was named as the “IJ Global European Waste Deal of the Year”.
Social media
The EBRD, with the support of the World Bank’s Global Road Safety Facility (GRSF) and DFID – UK, created an online toolkit of training materials and resources for drivers and fleet managers. A new video on road safety was posted across all social media platforms.
The EBRD hosted a webinar on "Climate-resilient infrastructure systems in emerging economies" to discuss the increased co-operation between countries, international partners, the EBRD and the Green Climate Fund (GCF) in building resilience to climate change.
The EBRD launched the third module of its Know How Academy.
New projects
The EBRD also approved or signed the following new projects this week:
- In Ukraine, a €27 million loan to the agricultural producer Nibulon for securing the company’s working capital.
- In Romania, a €150 million loan to Warehouses de Pauw NV for industrial logistic hubs.
- In Bulgaria, a €40 million unfunded risk sharing limit with Raiffeisenbank Bulgaria.
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Newly approved projects week 14-17 July |
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Date |
Country |
Client |
Project description |
Sector |
Status |
|
14-Jul |
Ukraine |
Nibulon |
US$27 million working capital |
Agribusiness |
Approved |
|
16-Jul |
Romania |
Compagnie Internationale de leasing |
€5.0 million for onlending to MSMEs |
Financial Institutions |
Approved |
|
16-Jul |
Romania |
Warehouses de Pauw NV |
€150 million loan for industrial logistics hub |
Property and Tourism |
Signed |
|
17-Jul |
Bulgaria |
Raiffeisenbank Bulgaria |
€40 million unfunded risk sharing limit |
Financial Institutions |
Approved |
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