AlbaniaMortgFac

completed

The proposed transaction consists of:- a mortgage loan facility of up to EUR50 million to a group of pre-selected domestic commercial banks (the Banks) in Albania, including Banka Kombetare Tregetare (BKT) for up to EUR20 million and Banka Popullore (BP) for up to EUR10 million;- a capacity building and technical assistance program to focus on supporting the mortgage lending activities of the Banks; and - an advisory program on improving specific aspects of the regulatory framework for the housing sector in Albania, which will be designed in close consultation with the Albanian authorities. The purpose of this the Facility is to provide the much needed long term funding to the mortgage market in Albania, to support the Banks’ growth strategies and reduce the systemic risks that arise from a mismatching between assets and liabilities. Consistent with the purpose of the transaction, the facility will have a maturity of up to 15 years, including a two year grace period for the repayment of principal.