3 Jul 2020
EUR 60 million
Financial institutions and SMEs
You initiate a project, we assess your project to determine if the investment improves productivity and/or benefits the environment in the Bank’s member countries. There is no standard form for a loan application. Below, you can find general criteria for your project to be eligible for NIB financing. At this stage, we expect from you a detailed project description and information on how and why your project suits NIB’s mission.
You share your annual accounts, financial plans, environmental information, and other relevant documents. We analyse them. This step is about sustainability and credit analysis. We will ask you to send us your annual accounts, financial plans, an environmental impact assessment of your project, applicable permits and licenses, as well as other relevant information, if necessary. We are also interested in your company’s commitment and capacity to manage the environmental and social impacts of your project. The scope of required material may vary from one project to another.
A decision to grant a loan is normally made by the Board of Directors, after preliminary approval by the Credit Committee. NIB's President is authorised by the Board to make certain lending decisions.
Once the loan for your project is approved, we negotiate loan documentation. NIB seeks loan agreements that fairly balance the interests of borrower and lender, reflecting the Bank’s special position as a long-term lender. The length of this process varies from a few weeks to months depending on the complexity.
The timing and number of disbursements can be adjusted to your cash flow needs, subject to conditions precedent for disbursements being met.
Once the loan is disbursed, we keep in touch. We are responsive to your changing needs as a borrower, and we seek to serve you quickly as your business develops. Every year during the lifetime of the loan, we reassess the risk and follow up on the project implementation. We continually follow the development of your business and your compliance with the key undertakings of the loan agreement.
Following project completion, we evaluate the realisation of the estimated productivity gains and/or environmental benefits as agreed during the loan negotiation. This is part of our ex-post procedure to ensure our impact and learn lessons for future lending. Read more:
NIB awards Green Project certificates to customers with the environmentally best performing projects.