The European Bank for Reconstruction and Development (EBRD), a development finance institution headquartered in London, has loaned Bank Saint Petersburg, a commercial bank in Russia, and fondiBESA, a microfinance institution (MFI) in Albania, a total of USD 69 million.
EBRD loaned Bank Saint Petersburg USD 65 million to fund its small business lending program. As of June 2010 the bank had total assets equivalent to USD 7.6 billion and a gross loan portfolio of USD 5 billion.
EBRD loaned fondiBESA EUR 3 million (approximately USD 3.9 million) to finance unspecified investment projects and the working capital needs of micro-, small and medium-sized enterprises (MSMEs) in Albania. As of 2009, fondiBESA reports total assets of USD 43.8 million, a gross loan portfolio of USD 43.5 million, return on equity (ROE) of 6.79 percent, return on assets (ROA) of 2.3 percent and approximately 15,000 borrowers.
By Witt Gatchell, Research Associate
About European Bank for Reconstruction and Development (EBRD):
The European Bank for Reconstruction and Development (EBRD) is a development finance institution headquartered in London. The bank began operations in 1991 upon the agreement of 40 countries and is now owned by 61 countries as well as the European Investment Bank and the European Union. It aims to finance operations that are both commercially viable and assist development in 29 countries in Eastern Europe and Central Asia. It does this by providing loans, debt securities, equity investments, guarantees and technical assistance to micro- and small businesses as well as commercial banks and non-bank microfinance institutions (MFIs). Operating assets for fiscal 2009 were EUR 6.1 billion (USD 8 billion).
About fondiBESA:
The Urban Micro Credit Project started as a project of the Department of Albanian Development Fund in 1994. In 1999, by Decision of the Council of Ministers, the project was transferred to fondiBESA, with the Soros Foundation of New York City, USA, as a Founder. Today, fondiBESA works to ensure access to microloans and grants for Albanian micro- and small-scale entrepreneurs. As of 2009, fondiBESA reports assets of USD 43.8 million, a gross loan portfolio of USD 43.5 million, return on equity (ROE) of 6.79 percent, return on assets (ROA) of 2.3 percent and approximately 15,000 borrowers.
Sources and Additional Resources:
[1] EBRD Press Release: “EBRD $65 Million Loan Signed With Bank Saint Petersburg” http://www.ebrd.com/pages/news/press/2010/101126e.shtml
[2] EBRD Press Release: “The EBRD Supports Development of Small Entrepreneurs in Albania” http://www.ebrd.com/pages/news/press/2010/101125.shtml
MicroCapital’s Microfinance Universe profile: European Bank for Reconstruction and Development (EBRD) https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Eur…
MicroCapital’s Microfinance Universe profile: FondiBesa
https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=fon…
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
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