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Banca Sociala 3 - Multipurpose Loan II.

Moldova | Financial Institutions

Identification Code:: OP/10/0765
Total Operation Cost:: — USD
Maturity:: 24 months
Operation Status:: BSTDB Approved Amount – Approval Date

8.000.000 USD – 26 Feb 2010
: BSTDB Signed Amount – Signed Date

8.000.000 USD – 17 May 2010
: Status:
Completed
Description and Purpose of the Operation:: Provision of a Bank to Bank Multi-Purpose Loan to Banca Sociala to finance its business development and subsequently benefit its corporate, SME and retail clientele through provision of quality financial services.
Countries of Operation:: Moldova (100,00%)
Financial Product:: Loans
Sector:: Financial Institutions
Domain:: Private
Borrower/Client:: Banca Sociala was established in 1991 and is a successor to Moldova's former state owned Zhilsots Bank, (Bank for Construction and Social Programmes). The bank operates as a universal commercial bank performing a wide range of services and addresses all categories of customers through its network. Traditional business line is lending to corporate customers, the major share of which is represented by small and medium business.
Co-Financers/Participants:: —
Guarantors/Sponsors:: —
Developmental and Regional Cooperation Impact:: The loan to Banca Sociala demonstrates BSTDB commitment to support the development of the banking sector in Moldova. Funds will be used mainly to improve balance sheet structure of Banca Sociala and diversify its liability base. BSTDB will support Banca Sociala by providing access to international funding to finance its growing lending operations. Due to the Borrower's well-established market presence, the loan will represent an excellent mechanism for BSTDB to extend funding to Moldovan enterprises which cannot be otherwise accessed by BSTDB directly.
Environmental Classification and Impact:: Banca Sociala is required to conduct its business in compliance with national and BSTDB environmental, health and safety requirements, including the Negative List of Products, as well as submit annual reports on environmental, health and safety performance.
Operation Leader:: Financial Institutions II
E-mail:: fi2@bstdb.org