Eurasian Development Bank and BNP Paribas will provide trade finance under the guarantee of European Export Credit Agencies

Eurasian Development Bank and BNP Paribas (France) entered into a multisourse framework agreement according to which the banks intend to extend their clients opportunities in obtaining trade finance in the CIS countries.

In accordance with the agreement EDB plans to provide medium and long-term financing under the guarantee / insurance coverage of European Export Credit Agencies («ECAs»). Terms and conditions of this agreement will allow EDB’s customers to obtain loans for the purchase of goods manufactured in the European countries including industrial equipment, machinery, tools, technologies as well as any services rendered in connection with such deliveries. Total amount of financing will be approximately 85% of each contract value with the average maturity in 7—10 years.

«Same to our previously signed agreements the establishing a credit line for our bank by BNP Paribas will be related to projects to be financed by EDB in connection with the deliveries of capital goods by relevant project companies including deliveries of manufacturing equipment, machinery, tools and others. We expect that the signing of a new framework agreement on trade finance by EDB will improve business conditions for our customers. That was the key reason for the signing of this document», — said Dmitry Krasilnikov, member of the Executive Board, Head of corporate finance and financial institutions at EDB, during the signing ceremony.

To date EDB has executed similar agreements with other financial institutions such as the Japanese Bank for International Cooperation (JBIC), the Nordic Investment Bank (NIB), the Islamic Development Bank (IDB), Deutsche Bank (Germany) and others.