| Project Detail |
Provision of a €30 million stand-by credit line (SBCL) to the Deposit Insurance Agency of Bosnia and Herzegovina (DIA BiH) to be made available under a sovereign loan to Bosnia and Herzegovina (BiH), as the current €30 million SBCL expires in October 2025. As a stand-by credit line, the EBRD finance is designed to provide immediate funds to DIA BiH, if and when required, to fulfil its mandate to compensate insured depositors or participate in bank resolution. Project Objectives The credit line ensures that DIA BiH keeps adequate contingency financing in place for its liquidity needs and will also ensure necessary coverage of the insured deposits and thus maintain and ensure confidence in the countrys banking sector. Having in place a stand-by credit line as a source of back-up financing is in line with the international best practices and recommendations for deposit insurance schemes. In addition, as prescribed by the new Law on Deposit Insurance of BiH, the contingency financing will now be available in case of DIA BIHs participation in bank resolution. |
