OTP Bank Cross Currency Basis SWAP

Location:

Hungary

Project number:

40206

Business sector:

Notice type:

Private

Environmental category:

FI

Target board date:

21 Apr 2009

Status:

Completed

PSD disclosed:

20 Oct 2009

Project Description

The Project, which is a part of a broader cooperation with the client, consists of a Swiss Franc 500 million swap facility that for a period of time facilitates OTP to enter into medium term cross currency basis swaps between Swiss Francs and the Hungarian Forint with the Bank. The programme was created to assist OTP to lengthen the maturity profile of its existing swap book and is subject to conditions on future FX-lending.

Transition Impact

The main rationale for EBRD’s involvement in the Project is to support the currency hedging of a strong bank with a regional presence throughout Central and Eastern Europe and systemic importance in most of the markets where it operates. The transition impact of this transaction comes mainly from supporting OTP in the process of adapting its business model to the changing macroeconomic environment.

The Client

OTP Bank is the largest universal bank in Hungary and the biggest independent bank in central Europe. With almost 12 million customers in nine countries, OTP subsidiaries are among the top ten largest banks in Ukraine, Bulgaria, Croatia and Montenegro.

EBRD Finance

Cross currency basis swap with a notional amount of up to Swiss Franc 500 million.

Project Cost

Up to Swiss Franc 500 million.

Environmental Impact

OTP will conduct its business in accordance with the EBRD’s Performance Requirement 2 on Labour and Working Conditions.

Technical Cooperation

None.

Company Contact

OTP Bank Plc, Contact: Sándor Pataki,
Tel: +36 1 473 5457
Email: patakis@otpbank.hu

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

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 (pcm@ebrd.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.