Ukrgasbank Support (IFC-41132)

Countries
  • Ukraine
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
FI
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
Sep 19, 2019
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
UKRGASBANK JSB
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 Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 33.29 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 30
Converted using 2019-08-20 exchange rate.
Loan Amount (USD)
$ 33.29 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.
Primary Source

Original disclosure @ IFC website

Updated in EWS Sep 1, 2019

Disclosed by Bank Aug 20, 2019

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.

According to IFC websites, the proposed project consists of a senior unsecured loan of up to EUR30 million to a state owned PUBLIC JOINT STOCK COMPANY JOINT STOCK BANK UKRGASBANK, with an option to convert into up to 20 percent equity share of UGB to finance eligible Energy Efficiency / Renewable energy projects in Ukraine, including to SMEs. The tenor of the loan of up to five years with a bullet repayment. The option to convert the loan into UGB’s equity will be at IFC’s full discretion.

People Affected By This Project
People Affected By This Project refers to the communities of people likely to be affected positively or negatively by a project.

The most significant, expected project-level outcome is increased access to climate mitigation finance in Ukraine. Beyond the project-level outcome, IFC anticipates that the Project will promote greater market competitiveness through anticipated privatization and promotion of the climate finance products via capacity building, demonstration, and market enabling channels. Also, the investment will promote the sustainability through sustainable lending products that meet green lending standards establishing and promoting these standards in the banking industry through capacity building and demonstration channels.

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

A senior unsecured loan of up to EUR30 million, with an option to convert into up to 20 percent equity share of UGB to finance eligible Energy Efficiency / Renewable energy projects in Ukraine, including to SMEs.

Financial Intermediary
A financial intermediary is a bank or financial institution that receives funds from a development bank. A financial intermediary then lends these funds to their clients (private actors) in the form of loans, bonds, guarantees and equity shares. Financial intermediaries include insurance, pension and equity funds. The direct financial relationship is between the development bank and the financial intermediary.
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.

JSB UKRGASBANK is a universal commercial bank, 95% owned by the Government of Ukraine. It is the fourth largest bank in Ukraine in terms of assets (almost US$3 billion equivalent as of YE2018 or 5% of the market). The Bank has wide presence in Ukraine, with 23 Regional offices, 248 branches and 4250 employees, servicing 1.9 million customers.


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.

No contact information provided at the time of disclosure. 

ACCOUNTABILITY MECHANISM OF IFC

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/

How it works

How it works