CMZRB LOAN FOR MUNICIPAL & REGIONAL DEVELOPMENT

Promoteur – Intermédiaire Financier

NARODNI ROZVOJOVA BANKA AS

Lieu

• Tchéquie

Description

Dedicated financing supporting municipal and regional infrastructure projects in the Czech Republic.

Additionality and Impact

Narodni rozvojova banka, a.s ("NRB" or "Borrower") is a specialized financial institution benefiting from a public policy mandate and in charge of the implementation of the state's development strategy. As a well-established promotional development bank, NRB is not-for-profit institution with previous experience with EIB financing. Although a majority of its activities is focused on SME and Mid-Caps segment, it traditionally supports infrastructure projects of municipalities and other public entities.

The proposed operation, structured as multi-sector financing, is to support the implementation of Borrower's medium-term business strategy (2021-2023) in the area of urban development support.

Climate Action objective is targeted at 30%. Given that the underlying sub-schemes are to be located mainly in the convergence areas within the country, the EIB Cohesion Priority regions objective is estimated at 90%.

Attractive conditions of EIB financing, such as longer maturities combined with longer availability periods and pricing will facilitate acceleration of implementation of public infrastructure investment programmes supporting revival of local economies suffering from current health and economic crises. At the same time, the Bank will address the sub-optimal public investment situation through schemes, which due to their size and/or the size of their promoters would not qualify for EIB's direct financial support. The EIB's quality stamp is expected to attract other financiers of the sub-projects.

Objectifs

The loan will support long-term lending of municipalities and regions and by them owned public entities in the Czech Republic in eligible sectors, primarily in urban, regional and rural development. It will support the upgrade, replacement and reorganisation of urban infrastructure and public facilities as well as environmental and efficiency improvements.

Secteur(s)

• Lignes de crédit - Lignes de crédit

Montant BEI envisagé (montant approximatif)

CZK 5000 million (EUR 191 million)

Coût total (montant approximatif)

not applicable

Aspects environnementaux

Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.

Passation des marchés

Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.

Statut

Signé - 13/07/2021