Financed ProjectsAlpha Bank RO (covered bonds)

Identification Code:

OP/19/0009

Total Operation Cost:

200.000.000

Maturity:

60 months

Operation Status:

Description and Purpose of the Operation:

Alpha Bank RO (covered bonds)

Countries of Operation:

Romania (100,00 %)

Financial Product:

Loans,

Sector:

Financial Institutions

Domain:

Private

Borrower/Client:

Alpha Bank, RO Covered Bonds

Co-Financiers/Participants:

n/a

Guarantors/Sponsors:

n/a

Developmental and Regional Cooperation Impact:

The project will likely have favorable impact on development of new financial instrument in the Romanian market, thereby contributing to deepening of the capital markets. Its overall development impact, however, will depend on how the funds are utilized by the bank. In the case the funds are used just to repay (refinance) maturing obligations (from parent or others), then general macroeconomic development impact will be absent. However, in case proceeds from the operation lead to easy and affordable credit to enterprises in Romania, then there will likely be favorable economic benefits for the Romanian economy, like additional tax revenue gains from increased economic activity, employment creation, improvement in competitiveness, and multiplier effects for other parts of the economy in Romania.

Environmental Classification and Impact (summary):

Alpha Bank Romania has developed and implemented a comprehensive environmental and social (E&S) management system commensurable with its activities and fully integrated in the general portfolio management. It consists of the E&S Risk Policy, Exclusion List, and the E&S risk management procedures, including the guidelines for performance screening standards, definitions and requirements for risk assessment, and risk categorization forms. The analysis of these documents confirmed compliance with the BSTDB’s requirements towards financial intermediaries and were developed based on IFC relevant guidelines. Overall, the E&S management system is well-integrated in the credit cycle and is applied systematically to the entire portfolio.

Operation Leader:

Financial Institutions I

E-mail:

fi1@bstdb.org