Financed ProjectsAgricover Credit IFN IV

Identification Code:

OP/25/0031

Total Operation Cost:

12.000.000

Maturity:

60 months

Operation Status:

Description and Purpose of the Operation:

The project refers to a medium-term senior unsecured loan to Agricover Group’s financial arm (Agricover Credit IFN) to provide finance for farmers in Romania which are also clients of Agricover Group’s distribution arm.The project refers to a medium-term senior unsecured loan to Agricover Group’s financial arm (Agricover Credit IFN) to provide finance for farmers in Romania which may, but are not necessarily required to, clients of Agricover Group’s distribution and commodities arm.

Countries of Operation:

Romania (100,00 %)

Financial Product:

Loans

Sector:

Consumer Staples

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 capex/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 medium/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 farmers to BSTDB member countries and beyond, thus the project has some regional cooperation element as some of the cereal exports will also be directed to Turkey and Greece.

Environmental Classification and Impact (summary):

Screened E&S Category FI. The Borrower meets the Bank’s requirements for FIs, it is governed by a comprehensive E&S Policy and procedures, its portfolio includes limited to low risk operations, it employs qualified personnel for E&S assessment and management of E&S risks and impacts, its Exclusion List is compatible with Bank’s one. The general E&S performance of the Borrower is monitored annually and is assessed as very good.

Operation Leader:

General Industries, Transport, Tourism 2

E-mail:

gitt2@bstdb.org