Senior secured loan in the amount of up to €25 million equivalent in local currency to Priorbank, a joint stock company incorporated in Belarus, for on-lending to local private micro, small and medium sized enterprises, including the first tranche of up to €10 million equivalent committed from signing.
The Project will help Priorbank to diversify its funding sources and expand lending operations in local currency with private micro, small and medium sized enterprises in Belarus, helping them mitigate currency exchange risks.
The Project will support strengthening and diversification of the private sector of the economy in Belarus through engagement with the largest private bank and foster a more stable financial environment by providing medium-/long-term financing in local currency.
ETI score: 60
The Project will increase the availability of financing in local currency for private micro, small and medium sized enterprises and contribute to the competitiveness of Priorbank by facilitating the expansion of its MSME portfolio with a focus on new and regional clients. Local currency funding and requirements to comply with financial covenants will further strengthen the resilience of the institution.
Priorbank is the fifth largest bank (out of 24) in Belarus and the largest private bank in the country with 6 per cent market share by total assets. It is majority-owned by Raiffeisen Bank International. Priorbank has been a client of EBRD since 1996 through multiple lending facilities as well as equity participation.
EBRD Finance Summary
Total Project Cost
Environmental and Social Summary
Categorised FI (2014 ESP). Priorbank is an existing client and its performance to date for existing exposures has been satisfactory. The bank will be required to comply with EBRD's PRs 2, 4 and 9, 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 via the Sustainability Index to the Bank. Sub-borrowers financed through Priorbank's loan will be required to comply with national environmental, health, safety and labour (EHSL) requirements.
Technical Cooperation and Grant Financing
Company Contact Information
+375 17 289 92 13
31-A, V Khoruzhey St., 220002 Minsk, Republic of Belarus
PSD last updated
23 Dec 2019
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