ROSEXIMBANK - MOSCOW CREDIT LINE SUBPROJECT

cancelled

The Moscow Credit Line Framework is a five-year credit line of US$ 135 million to be made available to a group of around six Moscow-based banks, including Roseximbank, for on-lending to medium-term private sector investment and construction projects in the Moscow city region. Roseximbank will receive a loan of US$ 15 million (ECU 12 million) under the Framework. Project objectives: The loan will support the growth, development and strengthening of the industry, property and service sectors in Moscow by providing term funds for the development of private enterprises in the city of Moscow. Roseximbank is a relatively new state-owned banking institution established in 1994 with the strategic aim of supporting Russian exports and import substitution. Roseximbank will provide trade finance to the private sector, act as a government agent to implement state policy for the support and promotion of Russian exports, including government finance, and is responsible for foreign borrowings. In addition, Roseximbank will provide medium-term investment finance to trade-related Russian enterprises, and through its subsidiary Roseximguarant, will provide export credit guarantees. Net worth of Roseximbank as at end 1996 was US$ 42 million. The credit line will provide funding to Roseximbank to promote the increase of medium-term lending to private sector investment and construction projects in the Moscow city region. US$ 15 million (ECU 12 million). This financial intermediary project has been classified FI, having no direct impact on the environment. The participating banks will follow the EBRD's Environmental Procedures for Local Banks in relation to all sub-loans financed through the credit line. In implementing these procedures, the participating banks will assess potential environmental issues associated with sub-projects which, at a minimum, are required to comply with local/national health, safety and environmental regulations and standards. The participating banks will report annually to the EBRD on environmental issues related to the credit line. TC funds have been obtained to fund a property adviser to assist the participating banks in analysing construction projects.