29507 - Locko A+B (EE)

Who We Are
Who We Are

IFC is the largest global development institution focused on the private sector in developing countries. By encouraging growth, IFC advances economic development, creates jobs and improves the lives of people.
More About Us
About IFC

Our Leadership

Development Partners
Accountability

Learn more about accountability
Annual Report

Download the Report
What We Do
What We Do

IFC advances economic development and improves the lives of people by encouraging the growth of the private sector in developing countries. We achieve this by investing in impactful projects, mobilizing other investors, and sharing expertise.
What We Do Overview
SOLUTIONS

Our products and services
OUR PRIORITIES

Climate Business

Fragile & Conflict Afflicted Situations

Gender

Mobilizing Private Capital

Sustainability
SECTORS & EXPERTISE

Agribusiness & Forestry

Creative Industries

Education

Financial Institutions

Funds

Health

Infrastructure

Manufacturing

Public-Private Partnerships

Tourism, Retail & Property

Trade & Supply Chain Finance

Venture Capital

Working Upstream
Where We Work
Where We Work

As the largest global development institution focused on the private sector, IFC operates in more than 100 countries around the globe. We apply lessons learned in one region to solve problems in another.
Overview
By Region

Africa

East Asia and Pacific

Europe

Latin America and the Caribbean

Middle East and Central Asia

South Asia
Our Impact
Our Impact

Our impact improves lives. IFC brings a clear set of advantages to the world’s most challenging markets. Including a history of innovation, a global mandate, and a determination to achieve measurable development impact.
Our Impact Overview
PRINCIPLES & MEASUREMENT

Impact Investing at IFC

Measuring and Monitoring (AIMM)

Evaluation

Sustainable Development Goals (SDGs)

Owned by 186 member countries and consistently rated AAA/Aaa. IFC aims to achieve our mission of promoting development by providing debt and equity to the private sector, through a range of benchmark and bespoke products.

For Partners

For Investors

Get in Touch

Summary of Proposed Investment

Project Number

29507

Company Name

LOKO-BANK, AO

Date SPI Disclosed

May 4, 2010

Country

Russian Federation

Industry

Financial Markets

Projected Board Date

Jun 4, 2010

Status

Completed

Sector

Commercial Banking - SME Finance

Department

Global Industry, Financial Markets

Environmental Category

Previous Events

Approved : Jun 25, 2010
Signed : Nov 10, 2010
Invested : Dec 20, 2010

Project Description

The project company is Locko Bank (Locko or the Bank), a medium-sized Russian commercial bank, strategically focused on lending to small- and medium-sized enterprises (SMEs). Having originally operated in Moscow and Moscow region, Locko is currently expanding into the regions of Russia. The Bank is a dynamically developing institution with good market position. The proposed project is a syndicated loan which will be used: - to support the Bank's Energy Efficiency lending to SMEs and corporates; - for trade finance activities; - as well as to support overall liquidity needs.

Sponsor / Cost / Location

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	20.0
Equity

Development Impact

Through this project IFC would contribute to fighting the climate change in Russia by jumpstarting the EE lending program of one of visible SME lenders. IFC's A loan along will enable the Bank to provide energy efficiency loans to its clients. Reduction in energy cost will increase the competitiveness of the Bank's clients which would support sustainable economic growth. It is expected that the Project will result in significant developmental impact through saving of primary energy, reduction in annual energy costs and reduction in GHG emissions during the subprojects' lifetime.

ï‚§ Incentivizing a local Bank for EE lending: IFC has a unique role in fighting the climate change by incentivizing the Bank to provide EE lending products for SMEs. ï‚§ B loan for further mobilization of funds: Through this Project, IFC is providing its B-Loan umbrella to support the proposed syndication. Without IFC's B-Loan umbrella the Bank may find it difficult to implement the proposed fund raising program. ï‚§ Expertise of EE product development: through the advisory component IFC would be providing expertise on developing the energy efficiency products which a few other market players are in a position to do.

As an existing IFC client, Locko Bank has developed an SEMS to screen its financing activities against the IFC Exclusion List, Russian environmental and social laws and regulations, and the IFC Performance Standards. Based on the last annual review, the client demonstrated sufficient capacity to manage environmental and social issues. The proposed project has been classified category FI with the purpose to finance energy efficiency, general purpose, and trade finance activities. During appraisal IFC will further assess the Bank’s portfolio risk and its capacity to manage such risks. In addition, the Bank will need to demonstrate compliance with IFC’s Performance Standard 2: Labor and Working Conditions, and if needed, IFC will provide recommendations to address any gaps.

Contacts

For Inquiries About the Project, Contact

Anastasiya Koliagina, Head of Debt and Capital Markets 14, Gospitalnaya str., Moscow, 111250, Russia Tel.: (+7 495) 232-2801 Fax: (+7 495) 956-9396 E-mail: AKoliagina@lockobank.ru www.lockobank.ru

For Inquiries and Comments About IFC, Contact

General IFC Inquiries IFC Corporate Relations 2121 Pennsylvania Avenue, NW Washington DC 20433 Telephone: 202-473-3800 Fax: 202-974-4384E Mail: Webmaster

This Summary of Proposed Investment is prepared and distributed to the public in advance of the IFC Board of Directors' consideration of the proposed transaction. It is not an offer of shares to the public and is intended solely to enhance the transparency of IFC’s activities. This document should not be construed as presuming the outcome of the Board decision. Board dates are estimates only. The following SPI is disclosed in accordance with IFC’s Policy on Disclosure of Information that went into effect April 30, 2006.

The map is for illustrative purposes and does not imply the expression of any opinion on the part of the World Bank, concerning the legal status of any country or territory or concerning the delimitation of frontiers or boundaries. Country borders or names do not necessarily reflect the World Bank Group's official position. In some cases, available project location information is limited to the country of the project's activities. Locations are approximate.

Projects

Summary of Proposed Investment

Project Description

Sponsor / Cost / Location

Development Impact

Similar Projects

Contacts

Projects

Summary of Proposed Investment

Project Description

Sponsor / Cost / Location

Project Sponsor and Major Shareholders of Project Company

Total Project Cost and Amount and Nature of IFC's Investment

Board Approved IFC Investment

Location of Project and Description of Site

Development Impact

Anticipated Impact Measurement & Monitoring (AIMM) Assessment

IFC's Expected Development Contribution

Environmental and Social Issues - Category

Press-Release

Related ESRS/ERS

Similar Projects

Contacts

Disclaimer