Investeu Gupg Eurobank Tender

Location: Bulgaria
Project number: 54800
Business sector: Financial institutions
Notice type: Private
EBRD Finance Summary: EUR 96,000,000.00
Total Project Cost: EUR 120,000,000.00

Project Description
An uncapped unfunded portfolio guarantee to be provided by the EBRD as an InvestEU implementing partner to Eurobank Bulgaria (known under its local brand name Postbank), as an eligible partner financial intermediary ("PFI") in Bulgaria under the EBRD's InvestEU Green Uncapped Portfolio Guarantee Framework. The guarantee will cover a newly generated portfolio of loans amounting to up to EUR 120 million, financing eligible green projects related to buildings or sustainable transport. The Project benefits from partial first loss risk cover from the European Union under the InvestEU Fund.

Project Objectives
The Project aims to further support the EBRD's green agenda in Bulgaria and the national green economy priorities. As such, the Project will bridge the funding gap for sustainable energy investments in the country and support the resilience of a systemic bank and expand its green lending capacity.

Transition Impact
ETI score: 60
ETI score: 60
The expected transition impact stems from the contribution to the Green and Resilient qualities.

Green: by addressing the issue of high energy consumption in buildings and the transport sector in Bulgaria through increased sustainable energy investments leading to energy savings and reduction of carbon emissions. Postbank will allocate at least 125% of the EBRD guarantee amount to eligible green projects, thus enhancing the Project's contribution to green economy transition.
Resilient: by supporting Postbank in building resilience by optimizing its capital base, freeing up capacity for green lending.