Summary of Proposed Investment
Project Number
20618
Company Name
AO RAIFFEISENBANK
Date SPI Disclosed
Mar 7, 2003
Country
Russian Federation
Industry
Financial Markets
Projected Board Date
Apr 10, 2003
Status
Completed
Sector
Commercial Banking - Housing Finance
Department
Regional Industry FIG LAC & EUR
Environmental Category
C - No Impact
Previous Events
Approved : May 22, 2003
Signed : May 30, 2003
Invested : Jul 3, 2003
Project Description
Raiffeisenbank Austria was established in 1996 and has become one of the leading retail banks in the country with a solid reputation and a strong retail franchise. As of December 2002, the bank ranked among the top 20 Russian banks in terms of assets (approximately $1.6 billion). Raiffeisenbank Austria’s equity amounted to approximately $133 million on December 18, 2002. The bank’s main areas of activity are corporate, retail, and investment banking. Raiffeisenbank Austria views mortgage finance as one of its strategic priorities and has been marketing this product actively on the market.
By providing the credit line to the bank, IFC will help Raiffeisenbank Austria expand its funding base, match its maturity needs, and enable it to provide long-term funds for mortgage finance, a sector that has an acute need for term financing.
In addition, the credit line would have a strong developmental impact on the still nascent Russian housing finance industry. The proposed financing would cement IFC’s strong global partnership with RZB in Central and Eastern Europe, and further extend this cooperation to Russia. This project is also a part of IFC’s overall strategy to promote the development of the housing finance sector in Russia.
By providing the credit line to the bank, IFC will help Raiffeisenbank Austria expand its funding base, match its maturity needs, and enable it to provide long-term funds for mortgage finance, a sector that has an acute need for term financing.
In addition, the credit line would have a strong developmental impact on the still nascent Russian housing finance industry. The proposed financing would cement IFC’s strong global partnership with RZB in Central and Eastern Europe, and further extend this cooperation to Russia. This project is also a part of IFC’s overall strategy to promote the development of the housing finance sector in Russia.
Sponsor / Cost / Location
Development Impact
Related ESRS/ERS
Contacts
For Inquiries About the Project, Contact
Mr. Eugene Toutkevitch, Deputy Chairman, Finance Director
Raiffeisen Bank
Troitskaya ul. 17/1
Moscow, 129090
Russian Federation
Telephone: +7-095-721-9900
Fax: +7-095-721-9901.
Raiffeisen Bank
Troitskaya ul. 17/1
Moscow, 129090
Russian Federation
Telephone: +7-095-721-9900
Fax: +7-095-721-9901.