OREANDA-NEWS. February 6, 2009. The European Bank for Reconstruction and Development (EBRD) is considering a possibility to expand cooperation with Belarus in private sector lending, head of the EBRD Office in Belarus Valdas Vitkauskas told reporters in Minsk on February 5.

The Belarusian side suggested that the European Bank for Reconstruction and Development step up and continue its work to provide loans to the Belarusian private sector. “We are talking about the continuation or possible expansion of financing of private banks and enterprises. The scope of lending and the number of projects will depend on our ability to develop these projects and sign contracts,” Valdas Vitkauskas said.

The head of the EBRD Office in Belarus underlined that only the private sector lending is being negotiated, not the financing of the budget deficit or other projects of this kind.

Belarus-EBRD cooperation is based on the Directive for the strategy of Belarus’ cooperation with the International Monetary Fund, the World Bank, and the European Bank for Reconstruction and Development and the EBRD’s strategy for Belarus in 2006-2008. The EBRD investments in the Belarusian economy amount to EUR 218.5 million. The total cost of the 21 investment projects is estimated at EUR 360.7 million.

Four major projects have been implemented in Belarus using the EBRD aid and government guarantees. Such projects as the development of Belarus’ electric communications, creation of a horticultural products wholesale market in Minsk, modernisation of the Orsha cogeneration plant, reconstruction of M1/E30 motorway Brest-Minsk-border with Russia have been accomplished. The EBRD credit line implementation continues. In January 2007 the credit line was expanded by another EUR 25 million as part of the EBRD strategy for Belarus in 2006-2008.