Minister: EBRD could expand its activity in Estonia

TALLINN – In a meeting with Odile Renaud-Basso, president of the European Bank for Reconstruction and Development (EBRD), Estonia's Finance Minister Mart Vorklaev said that in the current economic situation, the demand for EBRD financing could increase in Estonia.

"When the economy is booming, our companies' financing needs are primarily covered by banks, but in not-so-good times, it is important to find alternative financing options. The support of the EBRD is of great value to us, for example, to support the green reform and make investments in renewable energy," the minister said in a press release.

While the EBRD mainly finances the private sector, it can also support comprehensively targeted green investments by municipalities. Since last autumn, an EBRD representative is working in Tallinn.

"With this, the bank has brought advisory services and financing closer to our businesses. I encourage utilizing this opportunity," Vorklaev said in his remarks published after the meeting in Tallinn.

The Estonian minister also praised the management of the EBRD for the leading role played by the EBRD in supporting Ukraine.

"The EBRD has been very active there, providing much needed support to the Ukrainian economy. This is a win-win situation for the bank's shareholders," he said. 

A capital increase of four billion euros has been agreed to enable the EBRD to continue its strong contribution to the reconstruction of Ukraine. Estonia's contribution, planned at four million euros, is pending approval of the Riigikogu.

The shareholders of the EBRD are 72 countries, the European Commission and the European Investment Bank. EBRD has financed projects in Estonia in the amount of 952 million euros.