DCM Banca Comerciala Romania- MREL 2021 (IFC-45124)

Countries
  • Romania
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
Active
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
Apr 19, 2021
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
BANCA COMERCIALA ROMANA SA
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)
$ 112.50 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.
Loan Amount (USD)
$ 112.50 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)
$ 28.60 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.
Campaign Documents
Primary Source

Original disclosure @ IFC website

Updated in EWS Jun 13, 2024

Disclosed by Bank May 25, 2021

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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.

An IFC investment in MREL (Minimum Requirement for own funds and Eligible Liabilities) eligible bonds issued by Banca Comerciala Romana S.A., an existing IFC client in Romania, is part of the project. The bonds will be listed on the Bucharest Stock Exchange as unsecured Senior Non-Preferred instruments. The IFC's investment would aid the Bank's housing portfolio, which includes green housing loans.          

 

        

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

According to the IFC, the total project cost is US$28.6 million (in RON equivalent) for IFC’s own account.

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.

According to the IFC, BCR is a subsidiary of the Erste Group (Erste) and one of the systemic banks in Romania. The Bank currently ranks as the second largest commercial bank in Romania by total assets with a 13.7 percent market share, and consolidated total assets of EUR17 billion as of September 30, 2021. BCR has a long history on the local market and offers a wide range of banking services with a nationwide presence, through a network of 18 corporate business centers, 16 mobile offices dedicated to corporate clients and 327 retail units. As of September 30, 2021, the Bank had 5,417 full time employees. BCR has long-term issuer default rating of BBB+ (negative outlook) by Fitch affirmed in January 2021 and a long-term foreign currency bank deposit rating of Baa1 (stable outlook) by Moody’s affirmed in October 2021.

Erste is a banking group headquartered in Austria serving approximately 16.1 million customers across Austria and its core Central and Eastern Europe (CEE) markets through a region-wide network of approximately 2,111 branches. As of September 30, 2021, Erste had 44,878 employees worldwide and total assets of EUR309.2 billion. Erste's senior unsecured long-term debt was rated A (positive outlook) by S&P, A2 (stable outlook) by Moody's and A (stable outlook) from Fitch as of September 30, 2021.


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.

Banca Comerciala Romana S.A.
Ioana Tanase
Executive Director, Corporate Finance Division
+40-373-516-308
Ioana.Tanase@bcr.ro

 

ACCESS TO INFORMATION

You can submit a request for information disclosure at: https://disclosures.ifc.org/#/inquiries

If you believe that your request for information from IFC has been unreasonably denied, or that this Policy has been interpreted incorrectly, you can submit a complaint at the link above to IFC's Access to Information Policy Advisor, who reports directly to IFC's Executive Vice President.

ACCOUNTABILITY MECHANISM OF IFC/MIGA

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

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How it works