Type Development Bank Website www.bbr.bg Founded 1999 Total equity 461.3 million EUR (2015) | Industry Financial services Headquarters Sofia Total assets 825.3 million EUR (2015) | |
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Key people Assen Yagodin (CEO and Chairman of the Management Board),
Dorothea Pandova (Chairman of the Supervisory Board) Products Development finance, Corporate banking, Investment banking, Asset management, Loans | ||
Bulgarian Development Bank (Bulgarian: Българска банка за развитие, Bylgarska banka za razvitie) (BDB) is a leading Bulgarian development and commercial bank with headquarters in Sofia. It is one of the largest development institutions in Southeast Europe that provides financing and professional advising for the purposes of development. It is the largest Bulgarian financing facility provider to banks operating in the country, the sole national loan guarantee provider, and the only microfinance provider. Further to that, its direct lending commercial business division ranks as the 14th commercial bank in terms of assets in Bulgaria, with 850 million euro in assets as of June 2011.
Contents
- Purpose
- Bank Financing Facility
- Industry Partners Program
- Local Representatives Program
- Governance
- Key people
- Subsidiaries
- National Guarantee Fund
- JOBS Microfinance
- References
BDB is majority owned by the Republic of Bulgaria, and has a public-interest mandate to finance projects of regional and national importance, to encourage the growth of export oriented companies, to assist small and medium enterprises compete internationally, and to promote sustainable development. The bank's activities are financed with credit lines from multilateral development banks, investment funds, and sovereign wealth funds.
BDB has extensive industry coverage capacity in Bulgaria with a team of specialized industry sector consultants, each of whom partners with the sector's corresponding national industry organizations. As of November 2011, the bank has a long-term credit rating of "BBB-" with a positive outlook, short-term rating of "F3", individual rating "D", and support rating "2" from the Fitch Credit Rating Agency.
Purpose
BDB was established on March 11, 1999 as a joint stock company with the intention of promoting economic and social development in Bulgaria. In April 2008, the Bulgarian Parliament adopted a special law, which changed the mandate of the bank and reorganized the bank group in its current form. BDB receives its funding from the European Investment Bank, the Black Sea Trade and Development Bank, the Qatar Investment Authority, the Council of Europe Development Bank, KfW, the China Development Bank, the Japan Bank for International Cooperation, the Nordic Investment Bank, and others.
Bank Financing Facility
In 2012, BDB launched a 100 million euro financing facility in Bulgaria to improve SME competitiveness and stimulate lending to SMEs. Loans under the BDB Bank Financing Facility are provided through credit lines extended to commercial banks taking part in the program.
Industry Partners Program
BDB's major push to expand in Bulgaria began in August 2012, when the bank partnered with more than 30 major nation-wide industry associations to provide financial advisory and lending services to the organizations’ members. Under the Partners Initiative, BDB industry sector consultants were appointed to handle financial and loan questions from the orgranizations' member firms and national coverage was ensured by the establishment of a mobile team. BDB plans to extend 75 million euro in new loans for SME via the new program by the end of 2012.
Local Representatives Program
Under the Local Representatives Program, the bank has reached agreements with business centers in all six planning regions of Bulgaria and in 29 larger cities. The business centers serve as de facto BDB information and service centers.
Governance
The shareholder structure of the Bulgarian Development Bank as of December 31, 2011 is as follows:
Key people
BDB has a tiered board structure with a Management Board and a Supervisory Board. Key people in the organization include:
Subsidiaries
According to the BDB website, as of 2012, the bank ran the following subsidiaries as part of the BDB Group:
National Guarantee Fund
National Guarantee Fund EAD is a loan guarantee scheme, implemented through commercial banks operating on the Bulgarian market.
JOBS Microfinance
JOBS Microfinance Institution AD is a microfinance company, one of the largest in the country.