B.Sun
The fall of the Berlin Wall in 1989 served as the impetus for the formation of the EBRD in 1991, when communist regimes gave way to democracy and private industry. It is under this backdrop that the EBRD’s mandate was established. To qualify for EBRD support, a prospective country must demonstrate that it is committed to democratic principles. For example, the Czech Republic is a multi-party parliamentary representative democratic republic.
Another interesting facet is that although the EBRD is owned by public sector shareholders, it invests mainly in private enterprise. Over 60 countries own shares in the EBRD, with the US possessing about 1/10 of these shares. The EBRD possesses a €30 billion bankroll with which to select and diversify its projects and has attracted, through co-financing, over €65 billion from outside investors. While the EBRD does invest a nominal amount of money in public institutions, the objective is usually to reform infrastructure in order to promote private enterprise.
EBRD project funds are available for most sectors, including agribusiness, energy efficiency, financial institutions, manufacturing and telecommunications. A full list can be found at www.ebrd.com. Their website also provides a list of each country in which projects have been or are being conducted, as well as comprehensive project summary documents detailing the strategy behind each project and the current progress attained.
Additional background information as well as a report on the EBRD’s cooperation with the Council of Europe may be found at http://assembly.coe.int/Main.asp?link=/Documents/WorkingDocs/Doc06/EDOC10950.htm.
