Erste Bank Hungary SME Facility

Location:

Hungary

Project number:

40315

Business sector:

Financial institutions

Notice type:

Private

Environmental category:

FI

Approval date:

06 May 2009

Status:

Completed

PSD disclosed:

16 Jul 2009

Project Description

The EBRD is providing a senior loan to Erste Bank Hungary.

The proceeds of the loan will be used to provide medium and long-term financing to Hungarian private independent SME companies, for implementing investments or covering working capital needs.

The proposed project is part of EBRD’s overall response to the impact of the global financial crisis as well as to macro-economic imbalances in the Hungarian banking sector and its impact on the real economy; The proposed transaction therefore aims at supporting the private local SME sector.

Transition Impact

The proposed credit line will contribute significantly to the transition process as follows:

  • Maintaining lending to SMEs in Hungary
  • Improving the banking sector’s lending policies 

 

The Client

Erste Bank Hungary, part of Erste Bank Group, a private commercial bank organised and functioning under the law of Hungary. Erste Bank Hungary is the 6th largest bank in Hungary with a 7.8 % market share of total banking assets at the end of 2008.

EBRD Finance

Senior loan of up to € 100 million to be used for on-lending to the private SME sector in Hungary.

Project Cost

€ 100 million.

Environmental Impact

Erste Bank Hungary (EBH) will be required to comply with the EBRD's Performance Requirements for FIs (specifically, PR 2 and 9). EBH will be required to adhere to the EBRD's Environmental and Social Exclusion and Referral Lists and submit annual environmental and social reports to the EBRD.

Technical Cooperation

None.

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP 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. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

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