Financed ProjectsAgricover Credit IFN III - Medium Term

Identification Code:

OP/24/0004

Total Operation Cost:

20.000.000

Maturity:

60 months

Operation Status:

Description and Purpose of the Operation:

Medium-term senior unsecured loan to Agricover Credit IFN to provide finance for the grain farmers in Romania which are also clients of Agricover Group’s distribution arm.

Countries of Operation:

Romania (100,00 %)

Financial Product:

Loans

Sector:

Financial Institutions

Domain:

Private

Borrower/Client:

Agricover Credit IFN

Co-Financiers/Participants:

n.a.

Guarantors/Sponsors:

n.a.

Developmental and Regional Cooperation Impact:

Agricover Credit IFN is a prominent non-banking financial institution focused on offering specialized financing to the Romanian farmers (both working capital and investments support). It is part of the Agricover Group, a leading entity involved in agribusiness in Romania, with a strong footprint in the Romanian farmers community, therefore fits the Bank's objective to provide long-term financing in this sector. Provision of financing to non-banking financial intermediary that has the capacity to provide financing to SME in agriculture is an important objective met by this project. Financing SMEs in agriculture will streamline export potential of the Group to BSTDB member countries and beyond, thus the project has some regional cooperation element.

Environmental Classification and Impact (summary):

The E&S due diligence carried out previously concluded that it is a Category B operation with limited and readily identifiable risks and impacts that can be mitigated/minimized or avoided by adhering to generally accepted performance standards, guidelines and design criteria for this type of agribusiness activities. Agricover Credit IFN has been screened as Category FI and was assessed as a financial intermediary. The E&S performance is monitored annually and its general performance is being assessed as very good.

Operation Leader:

General Industries, Transport, Tourism 2

E-mail:

gitt2@bstdb.org