A senior convertible loan of up to US$ 8 million to Moldova-Agroindbank to support its shareholder restructuring and institutional development.
Project objectives: The operation will enable MAIB to support its shareholder restructuring and will strengthen MAIB's balance sheet. The proceeds of the loan will be used by MAIB to expand its loan portfolio to private sector companies in Moldova, to develop new products in order to become a more competitive financial institution, to achieve integrated computerisation and to support MAIB's institutional development.
By supporting the restructuring of MAIB, the operation will contribute to the promotion of a sound private banking system in Moldova and will facilitate the financing of private corporate customers.
MAIB started operations in 1991 following the merger of the Moldovan branches of the Agroprom Bank of the former Soviet Union. Today MAIB is the largest commercial bank in Moldova in terms of both total assets and total equity and is regarded as a well-managed and profitable organisation. MAIB maintains the largest domestic branch network, comprising 46 branches and 116 smaller outlets throughout the country, located in every major industrial and rural population centre.
MAIB has a total market share of approximately 21 per cent of aggregate banking assets. MAIB originally specialised in lending to agro-processing businesses but has now been able to implement a strategy to diversify its lending portfolio and business activities. MAIB now competes with a broad spectrum of Moldovan banks for lending opportunities and deposits.
A senior convertible loan of up to US$ 8 million (€ 8.8 million) extended for a period of five years, with an option to convert into ordinary shares of MAIB. A partial conversion was approved and executed on 28 December 2000 by the EBRD and Western NIS Enterprise Fund for a total amount of up to US$ 1.8 million (€ 2.0 million) each.
The total project cost is US$ 8 million (€ 8.8 million).
The bank will adopt and implement environmental procedures satisfactory to the EBRD, and all activities will be required to comply with the Bank's FI Environmental Exclusion List. All borrowers will be required to comply, at a minimum, with health, safety and environmental standards and regulations and public information/participation requirements in Moldova. On an annual basis, MAIB will report to the EBRD on environmental issues.
Technical cooperation funding was provided for one year.
For business opportunities or procurement, contact the client company.
For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
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
Project Complaint Mechanism (PCM)
The Project Complaint Mechanism (PCM) is the EBRD's accountability mechanism. It provides an opportunity for an independent review of complaints from individuals and organisations concerning EBRD-financed projects which are alleged to have caused, or are likely to cause, environmental and/or social harm.
Please visit the Project Complaint Mechanism page to find information about how to submit a complaint. The PCM Officer (email@example.com) is available to answer any questions you may have regarding the submission of a complaint and criteria for registration and eligibility, in accordance with the PCM Rules of Procedure.