OREANDA-NEWS. December 01, 2009.The European Bank of Reconstruction and Development (EBRD) increased TFP facility limit in favor of LOCKO-Bank up to USD50 million. The EBRD’s decision to increase the limit for LOCKO-Bank will further strengthen the Bank’s capability to execute trade finance deals of its clients involved in international trade, reported the press-centre of LOCKO-Bank.

The TFP Issuing Bank Agreement was signed between LOCKO-Bank and EBRD and a limit of USD10 million established in September 2005. Since then the facility was increased several times to support the constantly growing trade finance business of the Bank. As part of TFP Program, the Revolving Credit Agreement in Russian Roubles for client’s financing was signed in May 2008. It allows LOCKO-Bank to refinance Rouble loans granted to clients for foreign-trade operations.

Among the Bank’s existing loans with the EBRD are 4-year SME loan for USD10 million, 5-year MSE loan for RUR340 million, 7-year subordinated loan for USD20 million and a new 5-year SME loan for RUR500 million granted in 2009.

According to Mr. Mikhail Pavlov, Deputy Chairman of the Executive Board, “LOCKO-Bank’s Management truly values EBRD’s continuous support and confidence in successful realization of the Bank’s strategy and a high level of risk management.”