Authorizations and exposure

• Project finance loan:
• Can be sovereign or non-sovereign
• In assessing the viability of the projects, ETDB establishes a reference minimum rate of return of 10%
• Maturity period: Typically, no more than 10 years, though a longer period can be considered in exceptional circumstances
• Grace period: Up to one-third of the length of the loan maturity
• Funds availability period: Up to 5 years
• Corporate finance loan:
• Finance the business needs of corporates on a short to medium term basis, mainly for acquisition of other businesses, equipment and Inventory purchases and other similar purposes
• SME credit line:
• Sub-loans are provided on a commercial basis through client financial institutions incorporated in the respective member country
• Sub-loans are usually available with maximum maturities of 3–5 years and grace periods of up to 12 months (up to 24 months in exceptional cases)
• Soft loan financing: Public sector loans extended only to the government of a member state
• Tenor: Maximum of 10 years
• Grace period: Maximum of 3 years
• Interest rate: Same as that approved by the board of directors for sovereign guaranteed loans (to be revised biannually)
• Fee and other charges: No more than 0.2% of the total amount
• Currencies: Any currency, including local currencies, or a combination of currencies in which ETDB is able to fund itself
• Repayment and tenors: Most loans will be medium- to long-term; maturity of the loans normally will not exceed 10 years
• Fees:
• Front-end commission fee: 0.5%–1%, payable in a single installment between the time of signing and the first disbursement
• Commitment fee: 0.25%–1.5% for both variable-rate loans and fixed-rate loans
• Prepayment fee: Included in loan agreement
• Conversion fee: Conversion from one loan configuration to another may be subject to a fee

• Export finance facility: Provides financing for transactions up to 100% of the invoice amount if exported goods and services are produced in ECO member countries
• Import finance facility:
• If imported goods originate from other ECO region countries, up to 100% of the invoice amount can be financed
• If imported goods do not originate from other ECO region countries, up to 85% of the invoice amount can be financed

• ECO countries are Afghanistan, Azerbaijan, Iran, Kyrgyzstan, Pakistan, and Türkiye

• The bank does not finance military goods, casinos or other gambling facilities, tobacco, alcohol, narcotic drugs, hazardous materials, and other excluded goods

• Strict environmental, anti-fraud, corruption, and money laundering policies