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CreditWest Bank - Revolving TF Facility

Ukraine | Financial Institutions

Identification Code:: OP/15/0023
Total Operation Cost:: 5.000.000 USD
Maturity:: 12 months
Operation Status:: BSTDB Approved Amount – Approval Date

5.000.000 USD – 18 Sep 2015
: BSTDB Signed Amount – Signed Date

5.000.000 USD – 12 Nov 2015
: Status:
Active
Description and Purpose of the Operation:: Provision of a USD 5 million Trade Finance Facility to PJSC West Finance and Credit Bank, Ukraine. The proceeds of the Facility shall be used by the Borrower exclusively for the purpose of extending short-term pre-shipment and/or post-shipment export and/or import financing to their customers in Ukraine eligible in accordance with the eligibility criteria as agreed with the Bank.
Countries of Operation:: Ukraine (100,00%)
Financial Product:: Trade Finance
Sector:: Financial Institutions
Domain:: Private
Borrower/Client:: PJSC West Finance and Credit Bank (CreditWest Bank), Ukraine
Co-Financers/Participants:: n/a
Guarantors/Sponsors:: n/a
Developmental and Regional Cooperation Impact:: The operation is expected to have modest but favorable economic benefits for the Ukrainian economy, the most relevant being additional export revenues facilitated, as well as tax revenue gains from increased economic activity under the amount provided. In addition, the amount provided will help enhance benefits such as increases in employment, increase in export capacity and competitiveness, and multiplier effects for other parts of the economy. The regional cooperation element is similarly expected to be modest but favorable. Other BSTDB countries are important trade partners for Ukraine so a portion of exports is anticipated to be directed there, while the import financing provided under the facility will be restricted to importation of goods from other BSTDB members. Such transactions will have positive, albeit moderate, impact on regional cooperation, helping to enhance intra-regional trade.
Environmental Classification and Impact:: CreditWest Bank will be requested: 1) to develop, adopt and implement basic E&S procedures satisfactory to BSTDB and integrate them as fully as possible into its credit/investment appraisal and monitoring process; 2) to follow the BSTDB's E&S Exclusion List; 3) to ensure the trade finance operations comply, at a minimum, with the E&S regulations and standards in effect in Ukraine; and 4) to submit to the Bank annual E&S performance reports.
Operation Leader:: Financial Institutions II
E-mail:: fi2@bstdb.org