Trade Facilitation Programme TFP Cooperation with Taiwan all

Trade Facilitation Programme (TFP) Cooperation with Taiwan (all figures of 31 December 2013)

EBRD -Where we operate

Trade Facilitation Programme (TFP) Objectives l l l Support and develop trade, both inter- and intraregional Help local banks create tracks records with foreign banks Provide liquidity to the trade finance system Strengthen EBRD relationships with local banks, develop opportunities for further operations Institutional development is a key goal

EBRD Trade Facilitation Programme (TFP) Facilitates financing of all stages of the trade chain Export Production Transport Storage & distribution Receivables

EBRD Trade Facilitation Programme (TFP) – How does it work? EBRD supports trade by providing l guarantees that cover risks arising from trade finance transactions l short-term advances/financing to banks in the Countries of Operation for trade finance purposes l trade finance training and advisory service to local banks

EBRD TFP – The Strategy Strong focus on l Small- and medium-sized private banks in the CIS and South-East Europe l Early Transition Countries l Southern and Eastern Mediterranean (SEMED) l Intra-regional trade (= trade between EBRD countries of operation) l Foreign trade transactions of SMEs l Co-financing with the private sector

TFP – Guarantee Transaction l l l Always involves a local bank (“Issuing Bank”) which issues a trade finance instrument (e. g. a letter of credit) and a foreign bank which confirms it to the exporter (“Confirming Bank”) The trade finance instrument (e. g. L/C) ensures that the exporter receives payment upon or after delivery EBRD Guarantee covers payment risks of the Issuing Bank to the Confirming Bank

EBRD TFP – Exports from Taiwan to Belarus l l l A Taiwanese exporter sells steel sheets to Belarusky Narodny Bank opens a letter of credit, confirmed by a Taiwanese Bank EBRD guarantees up to 100% of the political and commercial payment risk

EBRD TFP – Exports from Taiwan to Russia l l l A Taiwanese exporter sells computer parts to Russia Transcapitalbank Russia opens a letter of credit, confirmed by a Taiwanese bank EBRD guarantees 100% of the political and commercial payment risk

EBRD TFP – Exports from Taiwan to Russia l l l A Taiwanese exporter sells nylon monofilament to Russia NBD Bank Russia opens a confirmed letter of credit EBRD guarantees 100% of the political and commercial payment risk

Examples: Exports of Taiwan financed under the TFP l vinyl acetate monomer l steel sheets l medical equipment l cards and motherboards l furniture l polystyrene l fitness equipment l steel cold rolled coils l computer parts and accessories l nylon monofilament l bikes

TFP - The Concept Parties to the TFP l Issuing Banks – more than 101 banks in 24 countries – Selected banks in EBRD countries of operation which meet the following criteria: l l Sound financial position and adequate operational procedures l l Engaged in or developing trade finance operations Preferably privately owned with strong shareholders Confirming banks – more than 800 confirming banks and subsidiaries in 77 countries

TFP - Guarantees Different from/complementary to export credit insurance: l Stand-by letters of credit (L/C) (under UCP 600) l usually issued within 24 hours l Cover all types of trade finance instruments issued by EBRD client banks: letters of credit, including deferred payment/post-financing; bank payment guarantees; bid bonds, performance bonds; advanced payment guarantees; stand-by L/Cs, etc. l Issued only to Confirming Banks, not to exporters or importers l Payable 15 days after receipt of first written demand l l Cover up to 100% of the commercial and political risk which cannot be covered by commercial banks, commercial credit insurance or exports credit agencies Cover exports, imports and distribution of imported goods in EBRD countries of operation, irrespective of the country of origin (no origin rules) l Tenor: max. 3 years l Amounts: no minimum amount

EBRD TFP Pricing charged to Issuing/Confirming Banks l Set on a deal by deal basis within established limits l Depends on country, bank, tenor, import/export Russia 2. 0 % - 6. 0 % p. a. Belarus 3. 0 % - 7. 0 % p. a. Ukraine 2. 5 % - 7. 0 % p. a. Central Asia 2. 5 % - 7. 0 % p. a. Balkans 1. 5 % - 3. 75 % p. a. Advanced countries 1. 00 % - 1. 5 % p. a.

14 years of EBRD Trade Facilitation Programme (TFP) Annual Business Volumes 1999 – 2013

TFP - Supporting SMEs (2013) 2, 033 transactions in 2013 87% of all transactions are below EUR 1 mln

EBRD TFP – 2, 033 Transactions in 2013 1. 2. 3. 4. 5. 6. 7. 8. 9. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. Russia (631) Belarus (322) Armenia (270) Ukraine (200) Georgia (163) Macedonia (92) Moldova (88) Azerbaijan (87) Kazakhstan (68) Romania (19) Croatia (17) Mongolia (17) Serbia (12) Kosovo (10) Morocco (10) Kyrgyz Republic (6) Bosnia Hercegovina (5) Bulgaria (2) Jordan (2) Tajikistan (1)

800 Confirming Banks in 77 Countries

EBRD TFP – Top 20 Confirming Banks ranked by Number of Transactions in 2013 1. Commerzbank 11. SEB 2. UBS 12. Banca Monte dei Paschi de Siena 3. Deutsche Bank 13. Yapi ve Kredi Bankasi 4. Uni. Credit Bank 14. KBC Bank 5. Raiffeisenbank International 15. 6. WGZ Bank 16. JP Morgan Chase Bank 7. BNP Paribas 17. Turkiye IS Bankasi 8. ING Bank 18. Ukreximbank 9. Citi Bank 19. Banco Popolare Soc. Coop 10. Banca Intesa 20. ABN Amro Banco de Sabadell

EBRD TFP - Confirming Banks in Taiwan • Bank of New York • Bank of Overseas Chinese • Bank of Taiwan • Bank Sino. Pac • Chang Hwa Commercial Bank, Ltd • Chinatrust Commercial Bank • First Commercial Bank Ltd • Hua Nan Commercial Bank

EBRD TFP - Confirming Banks in Taiwan • KBC Taiwan • KBC Kaohsing • Mega International Commercial Bank Co. Ltd. • Societe Generale • Sumitomo Mitsui Banking Corporation • Taiwan Cooperative Bank • Union Bank of California N. A.

TFP Achievements to Date (1999 – 2013) l Over 15, 000 transactions for a toal over Eur 8. 9 billion – cover 160 issuing banks in 26 countries of EBRD’s Operation – more than 800 confirming banks worldwide l Number of claims received: 2 l Number of claims restructured: 2

TFP Transactions with Taiwanese Exporters (1999 -2013) Russia 52 transactions - EUR 16. 565 mln 2. Belarus 8 transactions - EUR 1. 728 mln 3. Armenia 14 transactions - EUR 0. 358 mln 4. Serbia 5 transactions - EUR 0. 229 mln 5. Ukraine 5 transactions - EUR 0. 212 mln 6. Moldova 2 transactions - EUR 0. 132 mln 7. Uzbekistan 1 transactions - EUR 0. 125 mln 8. Croatia 1 transactions - EUR 0. 019 mln …………………………. Total 88 transactions EUR 19. 368 mln 1.

EBRD TFP - Co-Financing Partners l ACE Global Markets (AGM) & Lloyd´s of London l Confirming Banks l Donor Risk Sharing Funds l Export Credit Agencies l FMO Netherlands l OPEC Fund for International Development l Private Investment Funds

EBRD TFP - Instruction for Exporters & Importers l l l Check under www. ebrd. com/tfp, for which Issuing Banks and which tenors EBRD may guarantee the payment; Ask your buyers/suppliers to check if an Issuing Bank under the TFP would be ready to issue the required trade finance instrument; Ask a Confirming Bank of your choice to confirm the payment instrument under the guarantee of EBRD

www. ebrd. com/tfp

Contacts Financial Institutions – Trade Facilitation Programme European Bank for Reconstruction and Development One Exchange Square, London EC 2 A 2 JN United Kingdom E-mail: Group-TFPOps@ebrd. com Web-site: www. ebrd. com/tfp; Join us in social networks: Twitter: www. twitter. com/ebrdtrade Facebook: www. facebook. com/ebrdtfp Linked. In: www. linkedin. com/groups? gid=4667852

EBRD: Capacity Building Projects EBRD – Blended Learning Solution

Donors TFP TC Projects are funded by: • The Early Transition Countries Fund • The Shareholder Special Fund • European Union • Norwegian, Swiss, Italian, Canadian, Taiwan and other donors.

EBRD: Capacity Building Projects

TFP – E-Factoring Workshops l l Sponsored by Taiwan Business – EBRD Technical Cooperation Fund Mario Kan from Taiwan consulted in Warsaw, Istanbul, Moscow, Almaty, Tbilisi and Minsk during 20112012.

EBRD TFP & Secondees from Taiwan l l l Since 2003, TFP has been providing secondment opportunities for bankers from Taiwan to gain Trade Finance experience. The Secondees have demonstrated their commitment to TFP activities and have enhanced cooperation between TFP and Taiwan. The secondees will continue to highlight the close relationship between TFP and Taiwan.

EBRD TFP & Secondees from Taiwan

EBRD e-Learning Programme To date > 700 trade professionals from 149 banks in 31 countries enrolled

EBRD e-Learning Programme Best students receive further scholarships and sponsored training programmes in leading European confirming banks and training companies: • • Commerzbank, Germany ICC PARIS ICC Vienna Banca Popolare di Sondrio, Italy • BHF-Bank, Germany

TFP Trade Finance Forum EBRD Annual Meeting in Istanbul May 2013 Sponsored by Taiwan

TFP Trade Finance Forum EBRD Annual Meeting in Istanbul May 2013 Sponsored by Taiwan

Bank of Taiwan – Most active Confirming Bank under the TFP in financing trade with Taiwan in 2012

TFP Trade Finance Forum EBRD Annual Meeting in Istanbul May 2013 Sponsored by Taiwan

TFP Trade Exchange Magazine: www. ebrd. com/tfp TRADE EXCHANGE TFP MAGAZINE LAUNCHED IN 2011 EBRD PUBLICATION DEDICATED TO TRADE FINANCE AND EBRD TECHNICAL ASSISTANCE PROJECTS 5, 000 READERS FROM 1, 000 BANKS REPORTS ON: NEWS AND EVENTS REGIONAL FOCUS FEATURES INDEPTH SECTOR KEY ISSUES TRADE PROJECTS

Trade Exchange – Event Update

Trade Exchange – Sponsored by Taiwan

Trade Exchange – About Taiwan

EBRD TFP Trade Finance Forum 2013 in London Sponsored by Taiwan

EBRD TFP Trade Finance Forum 2013 in London sponsored by Taiwan

EBRD TFP TRADE FINANCE FORUM 2014 25 -26 September 2014, London, UK Information exchange and networking event for trade finance professionals worldwide

EBRD – Best Development Bank in Trade l Readers of Trade & Forfaiting Review (TFR), Global Trade Review (GTR) and Trade Finance Magazine have voted the EBRD in 2013 “Best Development Bank in Trade” l EBRD invites other development banks, commercial financial institutions, export credit agencies and donors to co-finance or co-finance with the EBRD

EBRD TFP – Successful Cooperation with Taiwan

EBRD TFP – Successful Cooperation with Taiwan

TFP - Indicative Tenor List (1) Country Bank Tenor, days Armenia ACBA - Credit Agricole Bank 560 Ameriabank CJSC 2 years Anelik Bank LLC 2 years Araratbank OJSC 1 year Armeconombank 560 Armswissbank 2 years Inecobank CJSC 2 years VTB Bank Armenia 560 Azerbaijan Accessbank Closed Joint Stock Co 2 years Bank of Baku 560 Respublika OJSC 3 years Azerigasbank 560 Muganbank OJSS 395 OJSC Demirbank 560 Unibank Commercial Bank Belarus 2 years Belgazprombank 5 years Belvnesheconombank Minsk 5 years JSC Bank Belrosbank 3 years Priorbank 3 years CJSC Minsk Transit Bank 2 years OJSC Belarusky Narodny Bank 1 year BPS-Bank 5 years Priorbank Minsk 3 years Reconversion And Development Bank 2 years

TFP - Indicative Tenor List (2) Country Bank Tenor, days Bosnia And Herzegovina Intesa Sanpaolo Banka D. D. Bosnia 1 year Raiffeisen Bank D. D. Bi. H 3 years Croatia PRIVREDNA BANKA ZAGREB 3 years RAIFFEISENBANK AUSTRIA ZAGREB 3 years FYR Macedonia Komercijalna Banka Skopje NLB Tutunska Banka A. D. Procredit Bank Macedonia Stopanska Banka Skopje 470 1 year Sparkasse Bank Macedonia 1 year Georgia Bank of Georgia 3 years Bank Republic 3 years Basis Bank 1 year Cartu Bank 3 years JSC VTB Bank Georgia 3 years TBC Bank 3 years Jordan Invest Bank 3 years Kazakhstan JSC Bank Centercredit 5 years Kazkommertsbank 5 years SB SBERBANK JSC 5 years VTB Bank Kazakhstan Subsidiary JSC 2 years

TFP - Indicative Tenor List (3) Country Bank Tenor, days Demir Kyrgyz International Bank 5 years JSC Kyrgyzstan Bank 195 Kyrgyz Investment and Commercial Bank 1 year Kazkommertsbank Kyrgyztan 1 year Kyrgyz Rep. Latvia Joint Stock Company Citadele Banka 1 year Lithuania Ab Bankas Nord/LB 1 year Moldova B. C. Banca Sociala S. A. 2 years B. C. Moldova-Agroindbank S. A. 1 year Moldindconbank SA 1 year Mobias Bank 2 years Khan Bank 2 years XAC Bank LLC 2 years Mongolia Russia ASIAN-PACIFIC BANK OJSC RUSSIA 2 years Bank St Petersburg OJSC 3 years Bank Vozrozhdenie 3 years Bank BCC-Moscow 1 year Chelind Bank 3 years

TFP - Indicative Tenor List (4) Country Bank Tenor, days Russia (countinued) CJSC Unicredit Bank Moscow 3 years Credit Bank Of Moscow 3 years ICICI Bank Eurasia LLC 3 years Joint-Stock Bank "Master-Bank" 2 years JSC "Bank Kazansky" 1 year JSC Bystrobank 560 JSC Commercial Bank " Center Invest 3 years JSC Rosbank 5 years Joint Stock Russian Standard Bank 2 years JSC VTB BANK 5 years Joint Stock Bank Transcapitalbank 3 years Locko Bank "LB" Moscow 3 years MDM Bank, Open Joint Stock Company 3 years NBD Bank Nizhni Novgorod 3 years OJSC Rosevrobank 3 years Promsvyazbank 5 years Sberbank Moscow 5 years SKB-BANKA 2 years Spurtbank Kazan 560 Uraltransbank 1 year ZAO Raiffeisenbank 5 years

TFP - Indicative Tenor List (5) Country Bank Tenor, days Romania Banca Transilvania CLUJ 1 year Serbia Alpha bank srbija a. D. 1 year Banka per Biznes Kosovo 1 year Cacanska Banka 2 years Eurobank EFG ad Beograd 1 year Komercijalna Banka AD, Beograd 1 year Raiffeisenbank A. D. 1 year Tajikistan Bank Eskhata 1 year Senagat Bank 540 JSC "Kredobank" 2 years Turkmenistan Ukraine Megabank OJSC 1 year OTP Bank Pro. Credit Bank 3 years 1 year VTB BANK 3 years Raiffeisen Bank Aval 5 years State Export-Import Bank Of Ukraine 5 years Subsidiary Bank Sberbank of Russia 2 years Unicredit Bank, Ukraine 5 years