GCF GEFF Regional - Arvand



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

02 Mar 2021



PSD disclosed:

05 Mar 2021

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project Description

Provision of a senior loan of up to US$ 2.0 million (€1.6 million equivalent) to Arvand Bank under GEFF Tajikistan. The financing will promote investments in climate change mitigation and adaptation technologies

Project Objectives

The proposed operation complies with the GCF GEFF Regional Framework criteria. Proceeds of the loan will be on-lent to private sector sub-borrowers in line with the GEFF Policy Statement. The project objective is to promote investments in efficient climate change mitigation and adaptation technologies and to contribute to Tajikistan's transition to an environmentally sustainable and climate-resilient economy. 

Transition Impact

ETI score: 70

The project supports the Green TI quality through the provision of funding and know-how to financial intermediaries financing private sector investments in high performing climate change mitigation and adaptation technologies. This will support building a green economy in Tajikistan by facilitating the accelerated market penetration of climate technologies, particularly focusing on promotion of renewable energy/energy efficiency/climate resilient technologies. 

Client Information


Arvand was transformed from an MFI into bank in September 2019 and currently operates as a fully-fledged universal commercial bank, offering a full range of banking services, primarily to retail segment.

As of end 2020 Arvand Bank was the seventh-largest bank by assets and fifth in terms of loan book in Tajikistan. Arvand bank is a longstanding EBRD partner bank serving around 39,000 borrowers and 49,000 deposit customers through 8 branches and 63 customer service outlets across Tajikistan as of end 2020. The relationship between EBRD and Arvand began in 2006, and since then comprised 11 projects in the total amount of USD 13.5m. The bank successfully took part in number of EBRD`s programmes (TAFF, MSE, ClimAdapt, WiB and RF) and currently developing its business under EBRD TFP programme.

EBRD Finance Summary

USD 1,500,000.00

Total Project Cost

USD 2,000,000.00

A senior loan of up to US$ 2.0 million (€ 1.6 million equivalent) in two tranches of USD 1.0m each. 75% of each tranche will be financed from the EBRD sources in the synthetic local currency; the remaining 25% of each tranche will be financed by Green Climate Fund in US dollars. 


Financing structure: EBRD offers financing that is not available in the market (e.g. a longer tenor than the market average) from commercial sources on reasonable terms and conditions, which are necessary to structure the project.

Innovative financing structures and/or instruments: EBRD offers an innovative green finance instrument that integrates aspects such as upfront cost and relatively longer payback period of green technologies, climate and environmental, social and governance standards and/or climate and ESG risks considerations into the financing structure.

Gender additionality: Gender additionality will be achieved by ensuring that gender considerations are reflected in the implementation of the transaction through enhancing PFIs' standards of business conduct/training of PFI staff, awareness raising campaigns to target both female and male sub-borrowers of green financing. 

Environmental and Social Summary

Bank Arvand will be required to continue to comply with Performance Requirements 2, 4 and 9, and to apply EBRD's E&S Risk Management Procedures for Corporate and SME loans. Arvand should continue to provide annual E&S reporting to the Bank on compliance with the applicable PRs and any other E&S matters arising during the year. All projects under the Green Economy Financing Facility (GEFF) will be required to comply with the national environment, health and safety and labour regulations and standards.

Technical Cooperation and Grant Financing

TC: The project  will benefit from a comprehensive Programme-level TC package of US$ 3 million for project preparation, implementation and verifications, as well as overall monitoring of the Programme and capacity building for the PFIs. TC supports gender activities that aim to enhance women and men's equal opportunity to access finance for green technologies.  Source: Green Climate Fund and Republic of Korea. 


I. Grant equivalent of GCF concessional funding in the amount of up to US$ 0.04 million. The GCF's margin and front-end-fee will be discounted at 80% of the EBRD's in order to support the GEFF's overall pricing. Source: Green Climate Fund.

II. Investment Incentives helping to stimulate the demand for incipient or high performing technologies in the amount of up to US$ 0.44 million. Source: EU.

Company Contact Information

Gulnora Yakubova
+992 44 600 14 00
CJSC Bank Arvand 1A Somoni Avenue Khujand, 735700, Republic of Tajikistan

PSD last updated

05 Mar 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.


Share this page: