Slide 1 - :: OPEC Fund for International Development (OFID ...

EBRDEBRDTrade Facilitation Programme (TFP)Trade Facilitation Programme (TFP)

www.ebrd.com/tfpwww.ebrd.com/tfp

(all figures as of 31 December 2007)(all figures as of 31 December 2007)

What is the EBRD?What is the EBRD?

0

4

8

12

16

20

24

28

32

36

'99 '00 '01 '02 '03 '04 '05 '06 '07

International financial institution, promotes transition to market economies in 29 countries from central Europe to central Asia

Owned by 61 countries and two inter-governmental institutions

Capital base of €20 billionCumulative commitments

€35 billion

Unaudited September 2007

Shareholding of the EBRDShareholding of the EBRD

September 2007

USA 10.1%

Others 11.27%

Japan 8.61%

EBRD region 7.28%excl EU members

EU [27] countries 62.75%

30 offices in 28 countries of operations30 offices in 28 countries of operations

Albania Armenia Azerbaijan Belarus Bosnia and Herzegovina Bulgaria Croatia Estonia FYR Macedonia Georgia Hungary Kazakhstan Kyrgyz Republic Latvia Lithuania Moldova Mongolia Montenegro Poland Romania Russian Federation Serbia Slovak Republic Slovenia Tajikistan Turkmenistan Ukraine Uzbekistan

Export Production Transport Storage & distribution

Receivables

EBRD Trade Facilitation Programme (TFP)EBRD Trade Facilitation Programme (TFP)

Facilitates financing of all stages of the trade chain

EBRD TFP – Started in 1999 with a global vision!EBRD TFP – Started in 1999 with a global vision!

Case Study: Export of Ethiopian Coffee to ArmeniaCase Study: Export of Ethiopian Coffee to Armenia

An Ethiopian exporter sells coffee to Armenia

Armeconombank opens a confirmed Letter of Credit in favour of the Ethiopian exporter

EBRD guarantees 100% of the political and commercial payment risk

TFP Business Volume p.a. TFP Business Volume p.a. 1999 - December 20071999 - December 2007

0

100

200

300

400

500

600

700

800

Volume, € mln

Global Network of Trade FacilitationGlobal Network of Trade Facilitation

IFI EBRD IFC IDB ADB

Programme Name TFP GTFP TFFP TFFP

Countries of Operation Eastern EuropeCIS Countries

worldwide Latin America Asia

Website www.ebrd.com/tfp www.ifc.org/gtfp www.iadb.org www.adb.org

Programme started in 1999 2005 2005 2004

Number of Transactions since start

6,800 950 266 120

Trade facilitated since start $ 6,000 million $ 1,400 million $ 274 million $ 32 million

Number of Issuing Banks 109 96 29 21

Number of Confirming Banks 643 400 120 65

Countries covered so far 21 53 14 12

EBRD Trade Finance Training CoursesEBRD Trade Finance Training CoursesKyrgyz RepublicKyrgyz Republic

Incoterms 2000

UCP 600

ISP98

URC 522

URDG 458

EBRD Trade Finance Training Courses in AzerbaijanEBRD Trade Finance Training Courses in Azerbaijan

Incoterms 2000

UCP 600

ISP98

URC 522

URDG 458

TFP – TC Funded Trade Finance Consulting TFP – TC Funded Trade Finance Consulting ING IGA - Chelindbank, ChelING IGA - Chelindbank, Chelyabinsk (Russia)yabinsk (Russia)

EBRD Trade Finance Consulting in TajikistanEBRD Trade Finance Consulting in Tajikistan

Vostok Ltd. Tajikistan imports home appliances

Consultants help importers replace cash payments by documentary credits provided by local banks

Consulting services funded by the government of Switzerland

EBRD TFP - First Factoring Operation in Georgia

Tamara Khizanishvili, Mr Ben Hosh and Mr Giorgi Abuladze -the Factoring Manager of Bank of Georgia after finishing the work on Factoring Documentation

Factoring was implemented in Bank of Georgia with technical support of the EBRD and consulting company Triangle Trade Finance, consultant Mr. Ben Hosh. The factoring consultancy services project in Georgia was sponsored by the EU.

Financed with donor funds of the EU

TFP - Supporting SMEs (2007)TFP - Supporting SMEs (2007)

52% of all transactions are below EUR 100,000

634

557

130

100

200

300

400

500

600

700

Number of Transactions

<100,000 0.1 - 5 mln > 5 mln

Amount in EURs

643 Confirming Banks in 77 Countries643 Confirming Banks in 77 Countries

TFP - More than 640 Confirming BanksTFP - More than 640 Confirming Banks

0

50

100

150

200

250

1999 2001 2003 2005 2007

Number of ConfirmingBanks which have usedthe programme

643 confirming banks and subsidiaries in 77 countries, including 23 out of the world's top 25 banks by total assets

EBRD TFP – Top 10 Confirming Banks by EBRD TFP – Top 10 Confirming Banks by Number of transactions in 2007 (2006)Number of transactions in 2007 (2006)

1. Commerzbank (1)

2. Fortis Bank (2)

3. Dresdner Bank (3)

4. Denizbank (7)

5. RZB (-)

6. American Express Bank (10)

7. Yapi ve Kredi Bankasi (10)

8. Turkiye IS Bankasi (-)

9. Bank Austria Creditanstalt (8)

10. Banca Intesa (6)

TFP - Number of intra-regional Transactions p.a.TFP - Number of intra-regional Transactions p.a.

0

50

100

150

200

250

300

1999 2001 2003 2005 2007

Number of intra-regionaltransactions

31%

56%

0% 0%

13%

0%

10%

20%

30%

40%

50%

60%

5 4 3 2 1

TFP Users - Client Satisfaction with EBRDTFP Users - Client Satisfaction with EBRD

Average – 4.2

5: Excellent

4: Very Good

3: Good

2: Satisfactory

1: Poor

Q: How would you rate your overall satisfaction with the products and services delivered by EBRD?

TFP Achievements – Client SatisfactionTFP Achievements – Client Satisfaction

Readers of Trade Finance Magazine and editors of Trade & Forfaiting Review have voted the EBRD “Best Development Bank in Trade” in 2003, 2004, 2005, 2006 and 2007

EBRD invites other development banks, commercial financial institutions, export credit agencies and donors to co-finance or co-finance with the EBRD

EBRD TFP - Co-Financing PartnersEBRD TFP - Co-Financing Partners

ACE Global Markets (AGM) & Lloyd´s of London

Confirming Banks

DEG Germany

Donor Risk Sharing Funds

Export Credit Agencies

FMO Netherlands

OPEC Fund for International Development

Private Investment Funds

EBRD TFP – Exports from Ukraine to RussiaEBRD TFP – Exports from Ukraine to RussiaCo-financing with commercial banks and donor fundsCo-financing with commercial banks and donor funds

An Ukrainian exporter sells railway tank cars to Russia, amount USD 18 million

Ukreximbank issues a stand-by letter of credit, covering pre-export finance provided by Sumitomo Mitsui Banking Corporation (SMBC)

EBRD issues a stand-by L/C to SMBC, covering 100% of the political and commercial payment risk

Under an A/B structure SMBC shares EBRD’s risk and EBRD’s preferred creditor status

ICDF Taipei China shares up to 50% of EBRD’s risk

EBRD TFP: Export of Equipment to KazakhstanEBRD TFP: Export of Equipment to Kazakhstan

Co-financing with Export Credit AgenciesCo-financing with Export Credit Agencies An exporter sells equipment to

Kazakhstan

A Kazakh Issuing Bank under the TFP opens a Letter of Credit to a foreign Confirming Bank, payable in several instalments before, at and after delivery

EBRD guarantees payment of amounts or tenors which are not covered by ECAs (max. 3-5 years)

EBRD guarantees up to 100% of the political and commercial payment risk

USD 350,000,000Insurance Policy

Structured Trade Credit and Political Risks

INSURED

EBRD Trade Facilitation Programme (TFP)

INSURANCE AGENTSMarsh Political Risks

LEAD UNDERWRITERACE Global Markets (AGM)

UNDERWRITERSCatlin Syndicate 2003

XL Syndicate 1209Kiln Syndicate 510

at Lloyd’s of London

1 NOVEMBER 2006

TFP Insurance Policy – Deal of the Year 2006TFP Insurance Policy – Deal of the Year 2006

• Enables the EBRD to increase its facility limits for selected Issuing Banks under the TFP in Azerbaijan, Georgia, Moldova, Russia, Tajikistan and Ukraine

The editors of Euromoney Trade Finance Magazine and Trade & Forfaiting Review have awarded the TFP insurance policy “Deal of the Year 2006”

TFP – Donor Risk Sharing Funds & TC FundsTFP – Donor Risk Sharing Funds & TC FundsDonors support the TFP through contributions to

Training of trade finance staff of banks in EBRD’s Countries of Operation (funds provided so far by the governments of Austria, France, Ireland, UK and Taipei China for training of more than 600 bankers of 65 banks in 15 countries)

Trade Donor Risk Sharing Funds, sharing EBRD’s risk in South East Europe and the CIS (including funds of the governments of Austria, Germany, Netherlands, Norway, Switzerland and Taipei China)

Finance and Factoring Advisory Services for banks in CIS countries and Serbia and Montenegro (funds provided so far by Canada, EU, Germany, Ireland, Italy, Netherlands, Sweden, Switzerland and Taipei China)

EBRD Presence in Central Asia and the CaucasusEBRD Presence in Central Asia and the Caucasus

EBRD TFP – Co-financing with OFIDEBRD TFP – Co-financing with OFID

EBRD TFP – Co-financing with OFIDEBRD TFP – Co-financing with OFID

TFP - Co-financing of EBRD and OFIDTFP - Co-financing of EBRD and OFIDCase Study: Export of pharmaceuticals to TajikistanCase Study: Export of pharmaceuticals to Tajikistan

The Croatian exporter Pliva sells pharmaceuticals to Tajikistan

Agroinvestbank Tajikistan opens a confirmed Letter of Credit in the amount of USD 180,000 and a tenor of 8 months to a foreign Confirming Bank

EBRD guarantees 100% of the political and commercial payment risk to the Confirming Bank

OFID shares EBRD’s risk

The FutureThe Future Network of regional Trade Facilitation Programmes

throughout the developing world, run by regional development banks like EBRD, ADB, IADB, IFC, DEG, FMO, OFID

Increase trade by increasing trade finance permutations

Leverage/increase trade volume by co-financing with development agencies, commercial banks and insurance underwriters

Established structure provides a mechanism for quick response to financial crisis

KIEV, Ukraine

We look forward to welcoming you in Kiev at the EBRD Annual Meeting and Business Forum18 and 19 May 2008