MICROCAPITAL BRIEF: EBRD lends $25 million to Banca Transilvania to help Romanian businesses adapt to war in Ukraine
The European Multilateral Bank for Reconstruction and Development (EBRD) recently lent €25 million ($25 million) to Banca Transilvania (BT), a Romania-based bank, for on-lending to war-affected businesses in Ukraine. The loan is part of The EBRD’s Resilience and Livelihoods Framework, a EUR 2 billion ($2 billion) commitment to help private and public entities address energy security, infrastructure and liquidity challenges in the market in the countries most affected by the influx of refugees due to the war.
BT, established in 1993, provides services such as loans, savings and credit cards to 3.6 million customers. In 2022, it has deposits of RON 107 billion ($22 billion) and active loans of RON 59 billion ($12 billion).
Founded in 1991, the UK-based EBRD seeks to support a “transition to open market economies, while promoting sustainable and inclusive growth” in 38 countries across Central Asia, Eastern Europe and North Africa. He does this by providing trading advice; supporting trade finance; and invest debt and equity in micro, small, and medium enterprise funders. It is owned by the EU and the European Investment Bank, as well as 71 countries. As of 2022, it has total assets of 75 billion euros ($75 billion) and loan investments valued at 29 billion euros ($29 billion).
By Ben Greissman, Research Associate
Sources and additional resources
EBRD press release
Bank Transilvania homepage
Banca Transilvania Finances
EBRD Framework for Resilience and Livelihoods
EBRD Annual Report
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