National Bank of Greece Group loans

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Project ID 41815

Status Complete

Location

Greece

Business Sector

Notice Type

Private

Project timeline

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

Project ID 41815

Status Complete

Location

Greece

Business Sector

Notice Type

Private

Approval Date

20 Jul 2010

Disclosure date

03 Dec 2024

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

Project Description

This PSD relates to a historical Bank project approved some years ago, and does not represent a new approval, or allocation of new funds. Disclosure of this PSD was deferred in accordance with the transparency framework in place at the time, but due to an administrative oversight, was not subsequently disclosed

The EBRD signed loans worth a total of EUR 350 million with National Bank of Greece Group subsidiaries across three countries, as part of a package approved in July 2010. The aim was to provide medium and long-term debt financing through National Bank of Greece subsidiaries for on-lending to private businesses operating in the three countries.

Project Objectives

The EBRD investments were part of the Joint International Financial Institutions Action Plan set up by the EBRD, the World Bank Group and the European Investment Bank (EIB) to provide over EUR 24 billion in support of the banking sectors in the region and to fund lending to businesses hit by the global financial crisis. Specifically, the credit lines were aimed at on-lending to SMEs and corporate clients, with up to 50% of the proceeds to be used for refinancing of existing loans, and 50% to be used for new lending. This programme was intended to strengthen the ability of systemic Greek banks to weather the effects of the macro-economic and Greek sovereign crises.

Transition Impact

The credit lines contemplated by this project were designed to contribute to the transition process by maintaining an essential flow of lending to enterprises at a time when the availability of credit, particularly to SMEs and corporates was constrained. It was also intended that this action plan would operate to protect the banking sector market expansion achievements gained in the years to 2010, and demonstration effect of successful restructuring of the funding structure and the business model of the client banks.

Additionality

At the time of the transaction, the Bank’s additionality was clear due to the lack of commercial appetite for Greek risk, which had flow-on effects for the network Banks in the EBRD’s regions of operations.

Environmental and Social Summary

As a Category FI project, the National Bank of Greece subsidiaries were required to comply with EBRD’s Environmental Performance Requirement (“PR”) 9 when making local loans, when conducting their business in accordance with PR 2 on Labour Standards, to adhere to the EBRD's Environmental and Social Exclusion and Referral Lists, and submit Annual Environmental and Social Reports to the Bank. Subsidiary borrowers were also required to comply with applicable national environmental, health and safety and labour requirements.

Technical Cooperation

None

Implementation Summary

EBRD’s financing focused on on-lending in favour of corporate and SME customers, while at the same time supporting financial resilience of NBG’s subsidiaries by facilitating the shirt towards a stable and diversified funding base. Due to shifting needs and priorities in Greece and the National Bank of Greece, the EBRD ultimately signed a loan in the amount of EUR 175 million.

Transition impact

ETI Score:60

PSD last updated

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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