Financed ProjectsBanca Romanesca Guarantee

Identification Code:

OP/01/0275

Total Operation Cost:

5.000.000

Maturity:

84 months

Operation Status:

Description and Purpose of the Operation:

Banca Romaneasca, established in 1993, is a Romanian commercial bank dedicated to the development of small and medium-sized private entrepreneurship in Romania. Kreditanstalt fuer Wiederaufbau (KfW) is the development and promotional bank operating for the German government, providing financing and consultancy services both in Germany and abroad. The operation involves the provision of a EUR 5 million guarantee for Banca Romaneasca (the "Borrower") and in favour of the German Kreditanstalt fur Wiederaufbau (the "KfW" or the "Lender") in connection with a loan to be extended to the Borrower by KfW (the "Credit Line"), which will be utilized by Banca Romaneasca to finance investments in modernization and/or expansion of existing small and medium sized enterprises, as well as SME start-ups, in Romania. The Guarantee Agreement for the Banca Romaneasca/KfW Guarantee Facility Project has become effective as of 24 December 2002.

Countries of Operation:

Romania (100,00 %)

Financial Product:

Guarantees

Sector:

Financial Institutions

Domain:

Private

Borrower/Client:

Banca Romaneasca S.A.

Co-Financiers/Participants:

Guarantors/Sponsors:

Developmental and Regional Cooperation Impact:

The Project would provide support for the development of the SME and banking sectors in Romania. BSTDB Guarantee facility would also stimulate and encourage capital investments from outside of the Black Sea region

Environmental Classification and Impact (summary):

The Project will not have negative environmental impact and is in compliance with the BSTDB Environmental Policy.

Operation Leader:

Financial Institutions I

E-mail:

fi1@bstdb.org