Early Warning System

Countries

North Macedonia

Geographic location where the impacts of the investment may be experienced.

Financial Institutions

European Bank for Reconstruction and Development (EBRD)

International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.

Project Status

Approved

Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.

Bank Risk Rating

Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."

Voting Date

Nov 22, 2022

Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.

Borrower

ProCredit Bank Skopje

A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.

Sectors

Finance

The service or industry focus of the investment. A project can have several sectors.

Investment Amount (USD)

$ 1.55 million

Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.

Project Cost (USD)

$ 1.55 million

Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Currency conversion note:
Bank reported 1.5
Converted using 2022-11-22 exchange rate.

Primary Source

Original disclosure @ EBRD website

Updated in EWS Dec 9, 2022

Disclosed by Bank Nov 25, 2022

Contribute Information
Can you contribute information about this project?
Contact the EWS Team

Project Description

If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

PROJECT DESCRIPTION

Provision of a senior unsecured loan of up to EUR 1.5 million to be provided in one tranche under the Western Balkans GEFF III - REpower Residential ("GEFF III" or the"Programme").

PROJECT OBJECTIVES

The loan is intended to provide sub-loans to help finance investments in high-performance energy efficiency technologies, materials and solutions undertaken in or in relation to privately owned residential dwellings or buildings, construction of GET-eligible High energy Performance Residential Buildings (HPRBs) and eligible Energy Efficiency (EE) and/or Renewable Energy (RE) projects in the Public Sector. 100% of the use of proceeds will be related to Green Economy Transition ("GET") investments.

TRANSITION IMPACT

ETI score: 70

The project will contribute to the overall Programme objectives and support theGreenTI qualitywith100%of the use of proceeds allocated to Green Economy Transition activities.

Green

TI quality

CLIENT INFORMATION

PROCREDIT BANK AD

ProCredit Bank Skopje("PCBM") is a universal commercial bank, currently the 6th largest on the Macedonian market, with participation of 6.2% in terms of total assets and 7.5% in terms of customer loans as of end-2021. It is considered systemic by the National Bank of the Republic of North Macedonia ("NBRNM").

ProCredit Bank Skopje

ADDITIONALITY

Additionality is achieved by combining the necessary long-term financing with TC, targeted investment incentives and policy dialogue into a package that promotes residential green economy investments in North Macedonia.

ENVIRONMENTAL AND SOCIAL SUMMARY

Categorised FI (2019 ESP). PCBM is an existing client and has provided satisfactory Annual E&S Reports to the Bank to date. PCBM will be required to continue to implement the Environmental and Social Risk Management Procedures for Micro, SME and Corporate loans; continue to comply with the EBRD's Performance Requirements 2, 4 and 9, including adherence to the expanded EBRD E&S Exclusion List and Referral List introduced with ESP 2019. As applicable, sub-loans under the GEFF III facility will need to comply with the E&S Eligibility Procedures for wind, hydro, solar, geothermal or biomass projects. In light of the recent reported forced labour concerns in the solar supply chain, solar PV technologies produced by high risk manufacturers will not be eligible for financing under this GEFF Facility until the Bank is satisfied with the integrity of those manufacturers. Any on-lending involving solar PV technologies will undergo screening through use of the Green Technology Selector (GTS) from which suppliers and technologies with reported links to potential forced labour issues have been removed. If a supplier not listed in the GTS is proposed, further assessments of suitability of supply chain risk assessment and mitigation will be required.

TECHNICAL COOPERATION AND GRANT FINANCING

The project will be supported by a comprehensive technical assistance to PCBM and sub-borrowers to facilitate the project preparation and successful implementation of the WB GEFF III programme.

The source for TC funds is the Japan-EBRD Cooperation Fund and other potential donors.

The source for non-TC funding is the Government of Switzerland via EBRD's Special Fund For The High Impact Partnership On Climate Action ("HIPCA") and other potential donors.

Investment Description

Here you can find a list of individual development financial institutions that finance the project.

European Bank for Reconstruction and Development (EBRD)

Contact Information

This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

Tanja Kostoska
tanja.kostoska@procredit-group.com
+ 389 02 3219 574
www.pcb.mk
Manapo 7 1000 Skopje Republic of North Macedonia

ACCESS TO INFORMATION

You can request information by emailing: accessinfo@ebrd.com or by using this electronic form: https://www.ebrd.com/eform/information-request

ACCOUNTABILITY MECHANISM OF EBRD

The Project Complaint Mechanism (PCM) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an European Bank for Reconstruction and Development (EBRD)-financed project. If you submit a complaint to the PCM, it may assess compliance with EBRD's own policies and procedures to prevent harm to the environment or communities or it may assist you in resolving the problem that led to the complaint through a dialogue with those implementing the project. Additionally, the PCM has the authority to recommend a project be suspended in the event that harm is imminent.

You can contact the PCM at: pcm@ebrd.com or you can submit a complaint online using an online form at: http://www.ebrd.com/eform/pcm/complaint_form?language=en

You can learn more about the PCM and how to file a complaint at: http://www.ebrd.com/work-with-us/project-finance/project-complaint-mechanism.html