The European Bank for Reconstruction and Development (EBRD) recently highlighted the key role donor funding plays in its initiatives to promote financial resiliency in its operating area.

“Donor funding is absolutely key to enable the EBRD to pursue its transition agenda, in particular ensuring that financial markets are developed on a sustainable and resilient basis," Frédérique Dahan, EBRD's head of financial operations, policy dialogue and grants management said in a release. "This may mean strengthening financial infrastructure and financial regulation, regulators’ capacity, or the processes and procedures in place in financial institutions across EBRD countries of operations”

According to the bank, more than half of its 125 projects with financial institutions last year were made possible by donor-funded grants, amounting to $150.4 million. These projects include efforts to strengthen local currency, resolve nonperforming loans and promote micro, small and medium-sized enterprise development by giving banks and other financial institutions credit lines to ensure they can provide financing. The EBRD also works to ensure economies throughout its region have tools to further trade, running, for example, the Trade Facilitation Programme (TFP), according to the release.

“Whether the contribution is very large, or small but targeted, the EBRD makes sure that all money delivers tangible results," Dahan said.