Microcredit Bank

completed

Summary Of Project Information (SPI)Project NameBosnia-Herzegovina - Bosnia Microcredit BankRegionEuropeSectorFinancial ServicesProject No7785Projected Board DateNovember 5, 1996Company NameBosnia Microcredit BankTechnical Partner and/or Major Shareholders International Project Consult (Germany - 20%); Market Banka or BH Banka (both of Bosnia - 20%); EBRD (20%); European Union (20%); and IFC (20%).Project Cost Including proposed IFC investment US$10.6 million, including an IFC equity investment of up to US$700,000 and may also provide credit support of up to US$5 million.Location of project and Description of site Bosnia-Herzegovina: Sarajevo.Description of Company and Purpose of Project The Bosnia Microcredit Bank would introduce microlending techniques to the country. A specialized financial institution would be created with capital investment and support from an experienced foreign technical partner and a reliable and reputable local financial institution. The developmental impact of microcredit programs on the poorest segments of society is well documented. The same income generation and employment creation benefits are expected in Bosnia. The commercial orientation of the shareholders of the Bosnia Microcredit Bank is expected to help generate, over a short period of time, a level of pofitability and self-sustainability which would further enhance this bank’s developmental impact. Environmental Category and Issues This is an environmental review category FI project. The Company will be required to undertake an environmental review of each sub-project. In addition, IFC will assess the Company’s capability to carry out environmental reviews.Date SPI sent to PIC September 25, 1996For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 676-0365