EBRD signs its first capital relief deal in Romania

The European Bank for Reconstruction and Development (EBRD) has signed a synthetic securitisation agreement with UniCredit Bank, providing up to 77.5 million euros of credit protection on the mezzanine tranche of a synthetic securitisation through an unfunded guarantee. The underlying portfolio comprises a well-diversified pool of small and medium-sized enterprises (SME) and corporate loans originated by UniCredit Bank.

This transaction allows UniCredit Bank to enhance its capital resilience by achieving risk-weighted asset (RWA) relief, thereby increasing its capacity to support the real economy through additional lending. The bank has committed to reinvesting the capital relief into new loans for SMEs and corporates in Romania. Moreover, an amount equal to 120 per cent of the EBRD guarantee will be channelled into projects that promote climate action and environmental sustainability, aligned with the EBRD’s Green Economy Transition (GET) criteria.

Through the partnership, the EBRD aims to broaden the adoption of Significant Risk Transfer (SRT) structures, encouraging the use of synthetic securitisation by partner banks in Romania.

The transaction is part of UniCredit’s ARTS programme, which focuses on SRT transactions, and it reflects the Group’s strategy to increasingly leverage SRT as a tool for improving capital efficiency, with plans to expand its application to new asset classes and legal entities across Central and Eastern Europe.