MINSK, 27 November (BelTA) - The European Bank for Reconstruction and Development (EBRD) is extending its Risk Sharing Facility (RSF) of up to $11 million to Priorbank, BelTA learned from the press service of the bank.
“The Facility will allow Priorbank to share risk in loans provided to domestic corporate clients, including small and medium-sized companies,” the press service said.
EBRD's Head of Office in Belarus Francis Delaey said: “We know the quality of their corporate lending well and can comfortably share credit risk of Belarusian customers with Priorbank. The fact that we understand partner-bank's credit procedures will streamline lending to Belarusian businesses and make the process faster and more efficient.”
The RSF is jointly implemented by the EBRD's SME Finance and Development Group and the Financial Institutions team. It covers a variety of financial products including senior and subordinated loans, mezzanine capital investments, letters of credit and guarantees available in euros, US dollars or local currencies. Regional banks and leasing companies, eligible to participate in the RSF, are able to offer financing with longer maturities to their clients, most of which are small and medium-sized businesses.
According to the Priorbank press service, to date the EBRD has made available nearly €265 million to over 133 small and medium-sized companies through risk-sharing mechanisms through 24 partner banks in 10 countries.
