OREANDA-NEWS. November 10, 2014. The EBRD has successfully launched a capital market framework for Raiffeisen Bank Polska S.A. with a 15 per cent-subscription in the first bonds issue by Poland’s eight largest lender in the amount of PLN 500 million (EUR 118 million) under a PLN 2 billion bond issue programme.

The engagement comes under the EBRD’s Financial Institutions Debt Capital Market Framework for Poland launched in December 2013 with a total volume of EUR 250 million. The purpose of the Framework is strengthening the development of the local capital market and facilitating the availability of finance for the real economy by strengthening the liquidity of local lenders. Under the Framework the EBRD has made a series of investments in unsecured PLN bank bonds, securitisations as well as Eurobonds.

Raiffeisen Bank Polska is a universal bank with a traditionally strong presence in the corporate sector and among small and medium-sized enterprise sector. The bank is a subsidiary of Austria’s Raiffeisen Bank International, one of the largest banking groups in Europe. With the debt issuance programme Raiffeisen Bank Polska aims at diversifying its funding base.

Grzegorz Zielinski, EBRD Director, Poland, said: "The Capital Market Framework is an important programme and demonstrates the EBRD’s determination to contribute to the development and strengthening of the local capital market. We are very encouraged by the strong response the first bond issue by our partner Raiffeisen Bank Polska has found in the market and see this as a positive prospect for the planned next steps.”

Lucyna Stanczak-Wuczynska, EBRD Director, EU Banks, said: “We are very pleased to extend our programme to Raiffeisen Bank Polska, an important partner and market participant. The funds generated through our programme will ultimately benefit the real economy through an improved access to finance which is needed to support companies’ expansion and growth.”

Since the beginning of its operations in Poland in 1991, the EBRD has invested almost EUR 7 billion in more than 330 projects in the country. In addition to its wide product range for banks and companies, in recent years the Bank has built up a strong portfolio of investments in the Polish financial sector amounting to more than EUR 700 million.