The Manufacturing and Services sectors of the economy make up the largest share of GDP and employment in the EBRD region.
The Bank has played a major role in developing the sector by supporting local and foreign corporate clients as well as small and medium-sized enterprises (SMEs) with both debt and equity financing.
The Manufacturing and Services team comprises 60 banking professionals of 25 different nationalities, 40 of whom work in our countries of operations to serve clients locally. We have significant expertise in financing complex projects, such as capacity expansions, restructuring and privatisation; energy efficiency financing; and foreign and local currency products.
Our key objectives in the Manufacturing and Services sector are:
- To support efficient investment, including capacity expansions, rationalisation and energy efficiency and environmental improvements;
- To promote and support privatisations;
- The development of local supply chains to increase efficient production;
- To support financing schemes that tackle the lack of capital in the sector; and
- To intensify our policy dialogue efforts, bringing together investors, distributors, processors and retailers.
Industries we cover in Manufacturing and Services: Metals, capital and intermediate goods, automotive, forestry and paper, construction materials, chemicals, health and pharmaceuticals, consumer goods, logistics and retail, aerospace industry.
In 2017, the Manufacturing and Services team signed 60 projects for a total commitment of approximately €800 million. Highlights included investments with international companies:
Mutabar Medical Standart will build a facility for the production of pharmaceuticals packed in plastic ampoules and invest in research and development with the help of a US$ 11 million (€9 million equivalent) loan. The venture will increase safety standards, reduce the cost of medicines and boost innovation in Uzbekistan’s pharmaceutical sector.
Cleaner and greener steel production in Ukraine
A syndicated loan of up to US$ 350 million (€292 million equivalent) will support the modernisation and environmental upgrade of ArcelorMittal Kryvyi Rih,Ukraine’s largest steel mill. As a result of the investment, the facility is expected to cut its CO2 and nitrogen oxide emissions while also significantly reducing its dust emissions.
Participation in a bond issue by industrial group Mytilineos Holdings helped to make the Greek economy more resilient by supporting local capital-market development and by encouraging economic diversification. The Bank’s €30 million investment made a significant contribution to the success of the offering on the Athens Stock Exchange.
Other notable projects in the first half of 2018 were Hellenic Healthcare in Greece, Mabion Pharmaceuticals in Poland and VLS Automotive lighting components in Morocco.
In the Early Transition Countries, the Caucasus, Central Asia, Belarus and Moldova - the Bank signed 22projects and in the Western Balkans where the Bank signed 5 projects. The sectorial spread of projects with local companies was broad, with notable investments in furniture making, building materials and retail.
The EBRD is increasing its focus on supporting the development of the knowledge economy in its countries of operations and industry provides significant scope for innovation in the region. Our investments MS Pharma in Jordan and Draexlmaier Group in Tunisia and Romania are promoting R&D.
This working paper gives policy-makers, investors and operators an overview of broad trends in the health care services sector. It also covers each EBRD country of operations, outlining public and private expenditure and the key features of health care financing. The paper looks at operational constraints facing the main providers of health care services, and considers the outlook for reform in the sector.