What Is a European Bank for Reconstruction and Development?

The European Bank for Reconstruction and Development (EBRD) is an international financial institution established in 1991. The idea of establishing the European Bank for Reconstruction and Development was first proposed by French President Mitterrand in October 1989. It officially opened on April 14, 1991.

European Bank for Reconstruction and Development

The European Bank for Reconstruction and Development (EBRD) is an international financial institution established in 1991. The vision for establishing the European Bank for Reconstruction and Development is

In October 1989,

The purpose of the European Bank for Reconstruction and Development is to help and support the transition of Eastern and Central European countries to a market economy, taking into account factors such as strengthening democracy, respect for human rights, and protecting the environment. Market economy transition. The main objective of investment is private enterprises in Central and Eastern European countries and the infrastructure of these countries.

The council is the supreme authority, and each member state appoints one member and one deputy director, and holds an annual meeting once a year. The board of directors exercises power on behalf of the council and consists of 23 members. The term of office of the directors is three years.

As of May 2000, the bank has a total of 61 members (including 59

The basic mode of operation of the European Bank for Reconstruction and Development is: lending through an correspondent bank, which only adds 1-2 percentage points to the benchmark interest rate, allowing the correspondent bank to charge the remaining 6-8 percentage points, which is almost

1. Provide necessary technical assistance and personnel training;

2. Assist recipient governments to formulate policies and measures, promote their economic reforms, and help them implement non-

From the start of the SME loan business in Russia in 1994 to 2005, it has expanded to 22 countries, issued a total of 535,000 small loans, a total of 4 billion U.S. dollars, a cumulative loan recovery rate of 99.5%, more than 30 days overdue loan recovery The ratio only accounts for 0.63%, and it is one of the banks that have succeeded in making loans to SMEs internationally.

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Judging from the previous operational experience of the European Bank for Reconstruction and Development, ensuring a successful business promotion requires multiple factors.

First of all, the loan personnel of small business loans must undergo strict and professional training. For example, loan officers generally have to undergo 9 to 12 months of training and be certified after taking examinations. Second, they must choose a good cooperative bank, that is, a re-lending bank. There must be a strict management system, an incentive system, and a flat decision-making mechanism. Small companies need to sign and lend money after having a good record. Third, there must be a good business environment and the government must not interfere.

Driven by the KSBP project, the EBRD s credit philosophy and technology have spread widely with the flow of loan officers, and its partner banks have also begun to use their own funds for micro-enterprise loans, and even some partner banks have their own loan portfolios in this field. , Has exceeded the assets under the KSBP project.