The multilateral European Bank for Reconstruction and Development (EBRD) recently lent EUR 25 million (USD 25 million) to Banca Transilvania (BT), a Romania-based bank, to on-lend to enterprises affected by the war in Ukraine. The loan is a part of EBRD’s Resilience and Livelihoods Framework, a commitment of EUR 2 billion (USD 2 billion) to support private and public entities in addressing energy security, infrastructure and market liquidity challenges in countries most affected by the influx of refugees due to the war.
BT, established in 1993, provides services such as loans, savings, leasing and credit cards to 3.6 million clients. As of 2022, it has deposits of RON 107 billion (USD 22 billion) and active loans of RON 59 billion (USD 12 billion).
Founded in 1991, UK-based EBRD seeks to support a “transition to open, market economies, whilst fostering sustainable and inclusive growth” in 38 countries in Central Asia, Eastern Europe and North Africa. It does this by providing business advice; supporting trade finance; and investing debt and equity in funders of micro-, small and medium-sized enterprises. It is owned by the EU and the European Investment Bank, as well as 71 countries. As of 2022, it holds total assets of EUR 75 billion (USD 75 billion) and loan investments valued at EUR 29 billion (USD 29 billion).
By Ben Greissman, Research Associate
Sources and Additional Resources
EBRD press release
https://www.ebrd.com/news/2022/supporting-romanian-firms-affected-by-war-on-ukraine.html
Banca Transilvania homepage
https://www.bancatransilvania.ro
Banca Transilvania financials
https://www.bancatransilvania.ro/files/app/media/relatii-investitori/ir-presentations-roadshows/General%20Presentations/BT-the-banking-market-leader-in-Romania.pdf
EBRD Resilience and Livelihoods Framework
https://www.ebrd.com/work-with-us/projects/psd/53662.html
EBRD history
https://www.ebrd.com/who-we-are/history-of-the-ebrd.html
EBRD shareholders
https://www.ebrd.com/shareholders-and-board-of-governors.html
EBRD annual report
https://www.ebrd.com/news/publications/financial-report/financial-report-2021.html
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