Early Warning System

Regions

Europe and Central Asia

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

Countries

Czech Republic

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

Mar 11, 2026

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

Arval CZ s.r.o.

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

Sectors

Energy
Industry and Trade
Transport

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

Investment Type(s)

Loan

The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.

Investment Amount (USD)

$ 57.71 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 50
Converted using 2026-03-11 exchange rate.

Loan Amount (USD)

$ 57.71 million

Project Cost (USD)

$ 132.74 million

Bank Documents

PSD Translation (Czech)

Primary Source

Original disclosure @ EBRD website

Updated in EWS Apr 3, 2026

Disclosed by Bank Feb 4, 2026

Contribute Information
Can you contribute information about this project?
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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.

According to the EBRD, the project consists of a senior unsecured loan of up to EUR 50 million, or its equivalent in CZK, in favour of Arval CZ s.r.o. to finance a new fleet of Battery Electric Vehicles (BEVs) and Plug-in Hybrid Electric Vehicles (PHEVs).

The loan will finance a new fleet of BEVs and PHEVs in Arval CZ's leasing portfolio. Implementation of the Project will accelerate the Company's decarbonization efforts and help Arval CZ mitigate carbon transition risk through CO2 savings. The Project is aligned with the mitigation and adaptation goals of the Paris Agreement. The Project will also support human capital development through the launch of a training programme.

ADDITIONALITY

The Project is expected to contribute to the diversification of the Company's capital structure and facilitate the implementation of new talent development initiatives, including initiatives aimed at strengthening the female workforce.

ENVIRONMENTAL AND SOCIAL SUMMARY

Categorised FI (2024 ESP). The transaction is categorised as FI due to the structure of the Bank benefitting from a corporate guarantee from BNP Paribas Fortis SA/NV, the Partner FI that holds full ownership of Arval CZ. Environmental and Social Due Diligence (ESDD) was conducted by ESD and has included a review of the completed ESDD Questionnaire, documentation reviews and meetings with Company personnel. The ESDD has concluded that the procurement of BEVs and PHEVs for leasing purposes has limited environmental and social risks.

The Company has an Environmental and Social Management System ("ESMS") and associated Management Plans ("ESMPs") with adequate capacity to assess and mitigate potential E&S risks associated with the project. The Company complies with Czech Republic national labour laws and has a Human Resources Policy in place that meets EBRD's Environmental and Social Requirement 2. The Company has a Supply Chain Management System ("SCMS") in place. Supply Chain Due Diligence ("SCDD") has been conducted on potential BEV suppliers and has not identified E&S issues. An Environmental and Social Action Plan ("ESAP") is not required for the Project.

The Company's business model of supply-to-order contracts means that no inventory/stock of leasing vehicles are held on its premises. Therefore, the related Health and Safety risks of storing and maintaining a large vehicle inventory is not an identified risk. Driver and insurance policies apply to leases. H&S risks regarding the Company's operations are readily mitigated and well managed including Emergency Response Plans and regular training. The Company will be required to comply with Performance Requirements 2, 4 and 9 and submit to the EBRD Annual Environmental and Social Reports (AESRs).

TECHNICAL COOPERATION AND GRANT FINANCING

None.

Early Warning System Project Analysis

For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

The EBRD categorized the project E&S risk as 'FI'.

Investment Description

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

European Bank for Reconstruction and Development (EBRD)

Private Actors Description

A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

As stated by the EBRD, Arval CZ was incorporated in Czech Republic in 2002. The Company offers full service operational vehicle leasing services to businesses of all sizes from large corporations to SMEs and retail clients.

The Company is fully owned by Arval Service Lease S.A. through BNP Paribas Fortis SA/NV, which is ultimately owned by BNP Paribas group.

Private Actor 1	Private Actor 1 Role	Private Actor 1 Sector	Relation	Private Actor 2	Private Actor 2 Role	Private Actor 2 Sector
BNP Paribas	Parent Company	Finance	owns	BNP Paribas Fortis SA	Parent Company	Finance
BNP Paribas Fortis SA	Parent Company	Finance	owns	Arval Service Lease SA	Client	Transport

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.

Client - Arval CZ s.r.o.:

David Vávra
Email: david.vavra@arval.cz
Phone: +420 261 109 011
Website: https://www.arval.cz/
Address: Milevská 2095/5, 140 00 Praha 4-Nusle, Czechia

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