📋 Tender Overview
Project ID: 55992
Status: Exploratory
Location: Bosnia and Herzegovina
Business Sector: Financial Institutions
Notice Type: State
Approval Date: 23 Jul 2025
Disclosure date: 16 May 2025
Project Description
Provision of a €30 million stand-by credit line ("SBCL") to the Deposit Insurance Agency of Bosnia and Herzegovina ("DIA BiH") to be made available under a sovereign loan to Bosnia and Herzegovina ("BiH"), as the current €30 million SBCL expires in October 2025. As a stand-by credit line, the EBRD finance is designed to provide immediate funds to DIA BiH, if and when required, to fulfil its mandate to compensate insured depositors or participate in bank resolution.
Project Objectives
The credit line ensures that DIA BiH keeps adequate contingency financing in place for its liquidity needs and will also ensure necessary coverage of the insured deposits and thus maintain and ensure confidence in the country's banking sector. Having in place a stand-by credit line as a source of back-up financing is in line with the international best practices and recommendations for deposit insurance schemes. In addition, as prescribed by the new Law on Deposit Insurance of BiH, the contingency financing will now be available in case of DIA BIH's participation in bank resolution.
Transition Impact
ETI score:64
Project will continue strengthening the capacity of DIA BiH and its credibility, which will decrease the risk of a deposit run in crisis times and improve the overall confidence in the banking sector. In the longer run, maintaining a credible deposit insurance system should have a positive impact on the growing deposit base and increase the funding available, thus supporting the Resilient quality. While complementing on-going work on EU directives compliance, tailored cybersecurity support will contribute to the Well-governed quality through the completion of a cybersecurity gap analysis, creation of a roadmap, and training of senior management, thus helping DIA BiH achieve, for the first time, alignment with international best practices of the CIS18 IG 2 Cybersecurity Framework.
