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.
