The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Emerging Europe: EBRD keeps its appetite for risk

From Moldova to Mongolia, the European Bank for Reconstruction and Development has earned a reputation for going where other institutions fear to tread. Now it is putting its balance sheet to work plugging holes in banks’ capital bases.

Nick Tesseyman-600

Nick Tesseyman, the EBRD’s head of financial institutions

Not many investors would be prepared to double down on a banking sector two months after its largest lenders were involved in a fraud that siphoned off more than 10% of the country’s GDP. Or, for that matter, on a bank without a functioning supervisory board.

Yet that is precisely what the European Bank for Reconstruction and Development has done in Moldova. In January 2015, the multilateral announced plans to increase its stake in Victoriabank in a bid to provide the chaotic eastern European state with at least one respectable banking institution.

After several setbacks, including an attempt by the Moldovan government to prevent the sale going through, the EBRD succeeded in buying a further 12.5% of the troubled bank in June this year. It is now battling to implement a new governance structure, in the teeth of opposition from a mysterious Cyprus-based entity that still owns 39% of the bank.

“We want to demonstrate that it is possible to have a well-managed bank operating in Moldova on commercial terms and serving the local economy,” says Nick Tesseyman, the EBRD’s head of financial institutions.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree