DOMENIA CREDIT S.A. (MORTGAGE COMPANY - DEBT & EQUITY)

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Project ID 27007

Status Complete

Location

Romania

Business Sector

Notice Type

Private

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Project ID 27007

Status Complete

Location

Romania

Business Sector

Notice Type

Private

Environmental Category

Approval Date

15 Jul 2003

Disclosure date

12 Mar 2003

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project Description

The proposed project consists in the acquisition of maximum 20% of the equity of the Romanian American Mortgage Credit company (RAMC) for an amount of up to US$ 1.5 million and a loan of up to €10 million. RAMC will use this financing to on-lend for residential mortgages to individuals for acquiring, upgrading and building residential properties.

Transition Impact

The project will increase the supply of mortgage finance in Romania, which is very low by international standards. It will have a demonstration effect promoting best-market practices in terms of customer responsiveness, documentation, consumer protection and corporate governance. RAMC also intends to securitise its mortgage portfolio by issuing mortgage-backed securities and foster the development mortgage-backed securities by acting as a conduit for other issuers. It may also foster wider regional markets by participating in cross border issues of mortgage-backed securities. The company will also promote legislative improvement in what concerns mortgage lending and securitisation of mortgage portfolios.

The Client

RAMC, an early stage independent mortgage company set up by the Romanian American Enterprise Fund. The United States Agency for International Development is also providing an US$ 2 million technical assistance package to help support the establishment of RAMC.

EBRD Finance

Equity: US$ 1.5 million
Loan: €10 million.
Co-financing to be syndicated with other IFIs.

Project Cost

€27.4 million in total (US$ 18 million and €11 million).

Environmental Impact

RAMC is required to ensure that a property survey is conducted for each loan as part of its due diligence. The survey should include consideration of potential site contamination, use/presence of hazardous materials in construction, risk of flooding, or seismic activity and compliance with the applicable national environmental, health and safety standards and regulation.

Technical Cooperation

None.

Company Contact

Roxana Vitan
Romanian American Enterprise Fund
Tel:+40 21 210 0701
Email: roxana.vitan@raef.ro
Web site: www.raef.ro

Transition impact

ETI Score:60

PSD last updated

01 Feb 2019

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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