Bank Activities

The EDB has defined an optimum scope and direction of activities, in line with its mission, development strategy and market conditions.

The financing of large infrastructure projects in the Eurasian region will take the form of  long-term loans either to public or private entities, equity participations, guarantees, indirectly or directly sponsored private equity funds and trade facilitation loans to local banks for further on-lending to local SMEs.

The bulk of the Bank’s financing will come from capital markets in the form of Eurobonds done under the EMTN program. The Bank plans to become a frequent and multicurrency issuer, and have syndicated loans and structured deals with investment banks, including trade finance, and various bilateral and club-style funding arrangements.

To facilitate such funding, the Bank maintains an immaculate credit track record, strong capitalization and liquidity, and ensures that it employs the most efficient risk and liquidity management systems.

The Bank will actively manage its asset structure, looking to engage co-investors (including other public and private institutions) when and where feasible. Although the mission of the Bank is one of regional development and integration, our scope and interactions are global.

The US$ 1.5 billion charter capital of the Bank provides solid support for our growth plans, and manifests the support of the member states for our strategy and expansion plans.

In its operating activity, the Bank adheres to sound banking principles and will only finance projects that are financially viable. We will not engage in concessional lending. Our operating methods, lending criteria and available financial products are largely similar to those of other MDBs. What is different is the mission and strategic objectives.

The EDB also has strict environmental criteria and will adhere to the highest environmental standards and invest only in those projects that meet those criteria.

In addition to its financing objectives, the EDB also aims to advise its member states on issues of economic development, the effective use of resources and the expansion of trade and economic relations.

To date there is no international financial institution that specifically targets the Eurasian integration and development process. EDB’s role is to fill that gap.