Confirm cookie choices
Cookies are pieces of code used to track website usage and give audiences the best possible experience.
Use the buttons to confirm whether you agree with default cookie settings when using

RSF - Union Bank - Crimson Finance Fund Albania (CFFA)



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

06 Sep 2022



PSD disclosed:

05 Oct 2022

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

The proceeds of the loan will be utilised for the expansion of CFFA's lending activities, which are expected to further support MSMEs in Albania. 

Project Objectives

The Project is consistent with the Strategy for Albania (BDS/AL/19-01 (Rev 1)), in that "the Bank will enhance private sector competitiveness and inclusion through wider access to finance and skills including indirect financing and risk sharing through financial institutions".

Transition Impact

ETI score: 75

- Competitive: The project helps an SME (confirmed as an SME or SME Plus, according to EBRD's definition) in a country with Large SME gaps access financing to support their operations.

- Resilient: The Partner Bank (Union Bank) will benefit from capital relief (recognised by the local central bank) on the full amount guaranteed by the EBRD which will enable it to expand lending.

Client Information


Crimson Finance Fund Albania ("CFFA" or the "Borrower") is a non-bank financial institution; licensed by the Bank of Albania ("BoA") since 2015, and targeting investments to micro-, small-, and medium-sized enterprises (MSMEs) in Albania. It currently offers four types of products: (i) term loans, which cover most of the needs of business activity, (ii) lines of credit, (iii) financial leasing, and (iv) factoring.

EBRD Finance Summary

EUR 500,000.00

Under the Risk Sharing Framework (the "RSF"), EBRD will guarantee for up to 36 months up to 50% of the EUR 1.0m senior amortising loan (the "RSF sub-project") of Union Bank to finance CFFA's plans for the expansion of its lending portfolio.

Total Project Cost

EUR 1,000,000.00


Under RSF, additionality stems from the following:

  • EBRD offers an innovative financing structure (e.g. mezzanine financing, risk sharing, etc.) on commercial terms not available from other banks: risk participation to help partner banks with capital and liquidity constraints.
  • EBRD offers a tenor, which is above the market average and is necessary to structure the project.
  • EBRD offers local currency financing on terms not readily available in the market.

Environmental and Social Summary

Categorised FI (2019 ESP) and Low Risk. The partner bank has carried out environmental and social due diligence on client's operations and the project by using E&S checklist. The ESDD showed that the Client is in compliance with national environmental, health, safety and labour requirements as well as this transaction is associated with low E&S risks. The partner bank will be required to ensure that the client complies with national E&S laws and with EBRD's PRs 2, 4 and 9 by adopting the EBRD's E&S Risk Management Procedures for Corporate, SME and Micro Loans including adherence to the EBRD E&S Exclusion List. Union Bank will be required to continue submitting annual environmental and social reports to the Bank. The Physical Climate risk score of the project is 3. Therefore, the counterparty can be considered to be low risk and no second stage assessment is required. There is no GET component associated with this project.

Technical Cooperation and Grant Financing


Company Contact Information

Dorin Rama
+355 4 450 03 85
Rr. Bardhok Biba, Godina e Vjeter Tirana, Hyrja 1, Kati 2, Tirane

PSD last updated

05 Oct 2022

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.


GDPR Cookie Status