European Bank for Reconstruction and Development (EBRD)
The EBRD is an international financial institution promoting transition to a market economy and part of its mission is to provide technical assistance to develop commercial laws and institutions that build market-based economies, create a sound investment climate and promote economic growth.
Using relevant analytical tools and current investor experience in the region the EBRD Legal Transition Programme has assumed an active role in the development of expertise and the use of new methods and techniques in legal reform.
The work of the EBRD Legal Transition programme in public procurement is based in three principles:
- Reform should lead to results measured in economic terms. A clear and predictable legal framework should increase competition and transparency in the public procurement sector. All PP reform efforts ought to be evaluated against this objective.
- The EBRD impact should be regional to ensure "better value for money". Successful country-specific projects should inspire reform outside the given jurisdiction and initiatives undertaken at the regional level to set standards that can be directly applied in any jurisdiction in the region.
- The EBRD role is to help countries to "help themselves". The EBRD can provide tools, techniques, and expertise based on international standards. Crude legal transplants should be resisted and the importance of compatibility with the existing legal tradition has always been emphasized. Reform can only come from within and requires commitment from the beneficiary government.
The EBRD is the largest single investor in its existing region. The Bank’s investments also mobilise significant foreign direct investment into its countries of operations. It invests mainly in private enterprises, usually together with commercial partners. It provides project financing for the financial sector and the real economy, both new ventures and investments in existing companies. It also works with publicly-owned companies to support privatisation, the restructuring of state-owned firms and improvement of municipal services.
The EBRD is owned by 63 countries and two intergovernmental institutions (the European Union and the European Investment Bank). It maintains a close political dialogue with governments, authorities and representatives of civil society to promote its goals. It also works in cooperation with international organisations such as the OECD, the IMF, the World Bank and UN specialise agencies.
In all its operations the EBRD follows the highest standards in corporate governance and sustainable development. As a public institution the EBRD is committed to a rigorous public information policy.
The EBRD’s strategic priority is to support and sustain the continuing recovery in the region in the aftermath of the global financial crisis. Strong emphasis is being placed in this recovery period on the development of local capital markets and the reduction of foreign currency lending to unhedged borrowers. Fostering and strengthening local currency and capital markets is also a main pillar of the Bank’s strategy for the financial institutions sector.
In its recent activities the EBRD has also paid special attention to a number of strategic initiatives, deepening and widening the activities in the lesser-developed countries and tackling energy security and energy efficiency as key challenges of the transition region.
Every EBRD investment must:
- support the further development of sound market economies
- take risk that supports private investors
- follow sound banking principles
- strengthen sustainability.
Through its investments the EBRD promotes:
- economic growth in its countries of operations
- entrepreneurship, competition and privatisation
- stronger financial institutions and legal systems
- infrastructure development
- adoption of strong corporate governance, including environmental
- structural and sectoral reforms.
- promotes co‑financing and foreign direct investment
- mobilises domestic capital
- provides technical assistance