Project Cycle
The Bank’s project cycle is comprised of three stages:
- Preliminary consideration,
- Financing decisions, and
- Monitoring and implementation.
Preliminary Consideration:
- Holding negotiations with the initiator of the project;
- Gathering information and conducting an initial analysis of information about the project; and
- Preparing a project concept for consideration by the Chairman.
Financing Decisions:
- Putting together the required credit documentation package for the project;
- Determining the required volume and cost of support;
- Preparing a loan proposal and final formalization of the financing terms and conditions in the Financing Indicative Terms (FIT); and
- Submission of the credit package to the credit committee, and later the Bank’s Management Board for approval and commencement of the financing project.
In cases envisaged in the Bank’s investment policy, the Management Board may refer the final decision on a project to the Bank Council.
Monitoring and Implementation:
- Project financing in line with a credit agreement;
- Project monitoring via gathering information about the borrower’s current financial standing and the financial standing of parties involved in the project, including during project implementation, and identification of potential problems;
- A comparative analysis of projected and actual project indicators;
- Oversight to ensure the borrower meets all credit terms and conditions; and
- Evaluation of the current state of financial support.
Project financing is agreed.
Monitoring the project.