FIF - Erste Bank Serbia SME loan II



Project number:


Business sector:

Financial institutions

Notice type:


Approval date:

23 Apr 2020



PSD disclosed:

23 Mar 2020

Project Description

Provision of a long-term senior unsecured loan to Erste Bank AD Novi Sad (EBS) for on-lending to small and medium enterprises (SMEs) in Serbia.

Project Objectives

The project will contribute to the expansion of lending to private businesses through working capital lines and investment loans to SMEs, including enterprises operating in economically less-developed regions of the country. Furthermore, the transaction supports EBS's growth strategy and diversification of its funding sources.

Transition Impact

ETI score: 60

The project improves the availability of medium-term funding for SMEs, which are the main source of employment in the private sector and a major contributor to the economy. With its wide regional outreach and SME-focused strategy, EBS is well-positioned to provide much-needed financing to smaller businesses and to contribute to the development of SMEs in the country. The focus will also be on lending in the regions outside the capital, attracting new SME clients and maintaining adequate portfolio quality.

Client Information


EBS is a dynamic bank focused on operations with retail clients, local communities, and small and medium-sized enterprises, with an experienced management team and consistently strong performance. The bank has a market share of 6% and is ranked 6th by total assets among 26 banks in Serbia. It is a subsidiary of Erste Group, banking group with a 200-year tradition, one of the largest financial services providers in the Eastern part of Europe in terms of clients and total assets. EBS is a systematically-important bank in Serbia according to the Central Bank classification.

EBRD Finance Summary

EUR 40,000,000.00

Total Project Cost

EUR 40,000,000.00

Environmental and Social Summary

Categorised FI (2019 ESP). Erste Bank is an existing client and its performance to date for existing exposures has been satisfactory. Erste Bank will be required to comply with EBRD's PRs 2, 4 and 9, including the FI Referral List for any sub-projects that include activities listed in Appendix A to PR 9 and implement the EBRD's E&S Risk Management Procedures for Micro, SME and Corporate lending which includes adherence to the EBRD's Environmental and Social Exclusion List and submission of annual E&S reports to the Bank. Sub-borrowers financed through Erste Bank's loan will be required to comply with national environmental, health, safety and labour (EHSL) requirements.

Technical Cooperation and Grant Financing

No Technical Cooperation is envisaged for this project.

Company Contact Information

Gordana Zivanov
+381 (0)21 489-0621
Milutina Milankovica 3a 11070 Novi Beograd

PSD last updated

23 Mar 2020

Understanding Transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”.  The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and Compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all activities of the Bank in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.

OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP 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 following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD Enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate; how to submit a Request for review; or contact IPAM  via email to get guidance and more information on IPAM and how to submit a request.


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