RF - ProCredit Bank Albania

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

Provision of a senior unsecured 2-year loan to ProCredit Bank Albania (PCBA) of up to EUR 10 million to support lending operations amidst adverse consequences of the Covid-19 pandemic. The proceeds of the loan will be on-lent to eligible sub-borrowers in accordance with the Resilience Framework Policy Statement to cover companies' liquidity needs. Local private small and medium-sized enterprises ("SMEs") are expected to be the key beneficiaries given PCBA's focus on the SME sector.

This project was approved as part 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.

Project ID 52072

Status Complete

Location

Albania

Business Sector

Financial Institutions

Notice Type

Private

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Project ID 52072

Status Complete

Location

Albania

Business Sector

Financial Institutions

Notice Type

Private

Environmental Category

Approval Date

19 Jun 2020

Disclosure date

06 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.

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."

RF - ProCredit Bank Albania (Albanian) (PDF, 0.44MB)

Project description

Project objectives

Proceeds of the loan will be on-lent to eligible sub-borrowers in accordance with the Resilience Framework Policy Statement to cover liquidity needs that may arise as a result of the impact of Covid-19. Local private SMEs are expected to be the key beneficiaries given PCBA's focus on the SME sector.

Transition impact

ETI Score:70

project will contribute to Albania's economic recovery by supporting SMEs/corporates with short-term working capital and liquidity lines to overcome liquidity gaps as a direct implication of Covid-19 lockdowns. The goal of the operation is to ensure resilience and competitiveness of the banking sector by helping PCBA to remain solvent and operational (Resilient) with continued commercial lending at least in line with the market and comparable players (Competitive).

Client information

PROCREDIT BANK ALBANIA SHA

PCBA is a fully owned subsidiary of ProCredit Holding. It is an universal, SME-oriented bank with a 2.1% market share in terms of total assets as of end Q1 2020.

EBRD Finance Summary

EUR 10,000,000.00

Total project cost

EUR 10,000,000.00

Additionality

EBRD financing effectively bridges a liquidity gap due to adverse market conditions caused by the impact of the Covid-19 pandemic and will allow PCBA to continue lending to eligible SMEs in Albania.

Environmental & Social Summary

Categorised FI (ESP 2019). PCBA is an existing client with a risk sharing facility for agribusiness support. PCBA will be required to continue to comply with Performance Requirements, 2,4 and 9 and submit annual environmental and social reports to the Bank. PCBA will be required to apply the EBRD's Environmental and Social Risk Management Procedures for Corporate, SME and Micro Loans and the extended E&S Exclusion list and new Referral list introduced with ESP 2019.

PSD last updated

06 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 the 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 its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) 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 also requires its clients to disclose information, as appropriate, about the risks and impacts of 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 of the Bank's activities 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 EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either 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. OCCO will follow-up all matters reported. It will review all matters reported. 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, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. 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 (for example, 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 the 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 and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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