RF - Zagreb Airport Resilience Support



Project number:


Business sector:


Notice type:


Environmental category:


Approval date:

24 Nov 2020



PSD disclosed:

05 Jan 2021

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

Project Description

Senior secured loan to Medunarodna Zracna luka Zagreb d.d. (the "Company"), the largest airport in Croatia, for financing of working capital needs to ease the company's liquidity constraints caused by the ongoing Covid-19 crisis and related travel restrictions. The proposed working capital facility is essential financing to support the sustainability of this airport concession and protect EBRD's exposure under an existing project (DTM 50391).

Project Objectives

The EUR 19.5 million loan will be used to finance the company's working capital needs with the goal to withstand the Covid-19's crisis impact and preserve transition impact gains achieved by the existing project. The loan will be provided in two tranches: (i) Tranche A - a committed tranche in the amount of up to EUR 10 million and (ii) Tranche B - an uncommitted tranche in the amount of up to EUR 9.5 million. Commitment of Tranche B shall be at the Bank's sole discretion.

Transition Impact

ETI score: 90

The goal of this Covid-19 response financing is to preserve the transition gains achieved to date through the Bank's existing loan which was signed under the "Framework for Development of a Secondary Market for Maturing PPPs". In that project, the EBRD provided EUR 57.8 million as part of a EUR 200 million long-term debt package raised in 2019 to restructure the company's balance sheet. The operational objective was to increase MZLZ's debt maturity and improve its pricing, increase the share of private debt, and attract additional commercial lenders to its banking pool. 

Through the proposed working capital facility, the Bank will strengthen the client's ability to weather the crisis and ultimately support the sustainability of this concession.

The main delivery risk is lockdown and aviation traffic restrictions continuing for longer than anticipated and the recovery taking longer than currently anticipated, potentially threatening the viability of the airport and the underlying concession.

Client Information


EBRD Finance Summary

EUR 19,500,000.00

Total Project Cost

EUR 19,500,000.00


Covid-19 crisis response - EBRD financing is provided in the extraordinary circumstances of the Covid-19 crisis and effectively bridges a liquidity gap due to adverse market conditions.

Environmental and Social Summary

Categorised B (2019 ESP). The provision of short-term working capital is associated with site-specific environmental and social ("E&S") impacts that are being addressed by the Company under relevant permits and licences. The Company is an existing client with a good track record. In-house due diligence for this transaction has comprised a review of the Company's Annual Environmental and Social Report ("AESR") for the previous transaction, its publically available E&S reports and detailed E&S questionnaire. The Company has provided Covid-19 information, guidance and training for its employees, and no retrenchment of the workforce as a result of the pandemic is expected. It has been confirmed that MZLZ is in compliance with EBRD Environmental and Social Policy ("ESP") and local regulatory requirements and can deliver the Project in line with Bank's Performance Requirements (PRs) and therefore no Environmental and Social Action Plan ("ESAP") is required for this transaction.

MZLZ is ISO 9001:2015, 14001:2015 and 10002:2014 certified and has an Integrated Management System in place which covers environment, health and safety, and emergency response and is in line with the PRs and has shown to be effective. All necessary permits are in place, and these include: Aerodrome Certificate issued by the Croatian Civil Aviation Agency ("CCAA") in line with Regulation (EC) 216/2008 and 139/2014 and an Environmental Permit was issued in 2012. The key operational document of MZLZ is its Aerodrome Manual, prepared in line with Regulation (EC) 139/2014 and approved by the Croatian Civil Aviation Agency. The airport is operating under specific noise protection regulations prescribed by the authorities. Noise levels are monitored at various locations and are below permitted thresholds. Moreover, the Company publicly discloses annual information on noise level monitoring.

MZLZ is active in the area of reduction of the green houses gases emissions, having developed and is implementing an Energy and Carbon Management Plan, and holds Airport Carbon Accreditation. The new passenger terminal is LEED Silver certified.

The Company has developed extensive guidance and training as well as Covid-19 specific risk management procedures both for its' staff and the public and regularly discloses substantial E&S information through its website, including the latest Covid-19 related guidance. EBRD will continue to monitor Zagreb Airport environmental and social performance through annual environmental and social reports.

Technical Cooperation and Grant Financing


This project was approved in the context of the Bank's response to the COVID-19 pandemic.  To avoid delays to the delivery of this project, the Bank's President granted a deviation from the ordinary timelines for PSD disclosure, as contemplated by Section V of the Directive on Access to Information. Details of the Bank's response to COVID-19, and this deviation, can be found on our website.

Company Contact Information

Medunarodna zracna luka Zagreb d.d.
Ulica Rudolfa Fizira 1 10 410 Velika Gorica Croatia

PSD last updated

05 Jan 2021

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
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

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 compliance@ebrd.com. 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 ipam@ebrd.com to get guidance and more information on IPAM and how to submit a request.


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