The EBRD will loan 500 mln euro to Bulgarian projects over the next 2 years as part of its new country strategy, bank president Jean Lemierre told a seminar in Sofia on Thursday, February 9. The bank will target greenfield investment projects as well as projects to improve the competitiveness of small and medium-sized enterprises, said Lemierre. The EBRD will also look for opportunities to increase investment in Bulgaria's tourism and real estate in partnership with private corporations and funds.

In 2005, the bank loaned 20 mln euro for the construction of the 5-star Kempinski Grand Hotel Hermitage in sea resort Zlatni Pyasatsi. The hotel is owned by investment fund Sigma Capital.

The EBRD has also loan-financed the Cayman Island-registered Orchid Developments which is investing in residential and office projects in Sofia.

The banks has conditioned the loan-financing for Bulgarian projects on transparency and the use of concession procedures and public-private partnerships.