Financed ProjectsGaranti Leasing Romania

Identification Code:

OP/17/0044

Total Operation Cost:

10.000.000

Maturity:

12 months

Operation Status:

Description and Purpose of the Operation:

Garanti Leasing Romania

Countries of Operation:

Romania (100,00 %)

Financial Product:

SME's

Sector:

Financial Institutions

Domain:

Private

Borrower/Client:

Short-Term SME Leasing Facility Garanti Leasing, Romania

Co-Financiers/Participants:

N/A

Guarantors/Sponsors:

N/A

Developmental and Regional Cooperation Impact:

The project is expected to have favorable economic benefits for the Romanian economy, except the most relevant being additional tax revenue gains from increased economic activity under the additional amount provided. Moreover, the additional amount provided will further enhance benefits such as increases in employment, increase in export capacity and competitiveness, and multiplier effects for other parts of the economy in Romania. The regional cooperation element is similarly expected to be modest. Other BSTDB countries are important trade partners for Romania so to the extent SMEs benefiting from financing from the operation engage in export activities, there will be regional cooperation benefits.

Environmental Classification and Impact (summary):

The environmental assessment findings reveal that the Borrower has not instituted any environmental and social management system and does not have a qualified employee responsible for environmental, health and safety (EHS) issues that may arise from leasing activities. Nevertheless, the Borrower legally requires in its leasing contracts that their clients will ensure the use and operation of each asset financed, by properly trained and qualified persons and only in normal work as intended, respecting all manufacturer's instructions and all legal rules and regulations including environmental protection and health and safety of its employees, customers and any other persons. The Borrower also abides to an Exclusion List which is compliant to the BSTDB Negative List of Products and Services. Considering the nature of the leasing business and the sectors the Borrower is financing, it can be concluded that the measures applied, though limited in terms of EHS, are adequate and in line with the minimum requirements stipulated in the BSTDB Environmental Policy and Environmental Assessment Procedures.

Operation Leader:

Financial Institutions I

E-mail:

fi1@bstdb.org