Supply Chain Solutions Framework

approved

The establishment of a Supply Chain Solutions Framework (the "Framework"). Under the Framework, the EBRD will participate through unfunded and funded risk-sharing arrangements ("Facilities") with partner banks ("Partner Banks") in the supply chain finance programmes they extend to large companies known as "aggregators" ("Anchor Buyers") with local and/or global supply chains. The Framework will cover multiple business sectors. The first two Facilities to be piloted under the Framework include the following: - SCSF - Citibank Europe Plc: An uncommitted funded facility with an overall limit of up to EUR 75 million for the purposes of risk-sharing in supply chain finance ("SCF") programmes administered by Citibank Europe Plc and Citibank NA London branch (together referred to as "Citi"). The proceeds of the facility will be used to participate in the SCF programmes arranged by Citi for the benefit of Anchor Buyers and their suppliers located in the EBRD's CoOs. - SCSF - Santander Factoring Poland: An unfunded facility with an overall limit of up to EUR 50 million for the purposes of the EBRD's participation in SCF programmes administered by Santander Factoring Sp. z o.o. ("Santander"). The proceeds of the facility will be used to participate in the SCF programmes arranged by Santander for the benefit of Anchor Buyers and their suppliers located in the EBRD's CoOs. There is still available headroom under the Framework; EBRD reserves the right to increase the overall Framework headroom, depending on the utilization. After a two-year pilot phase, the following operation changes are approved: a) increase of the overall exposure limit under the Framework from EUR 150 million to EUR 250 million, and b) amendments of eligibility criteria for sub-deals according to lessons learned allowing for more flexibility and efficiency in deployment.