Page 4 - OeEB-AnnualReport_2013

Basic HTML Version

OeEB Annual Report 2013
4
Acting on behalf of the Austrian federal government,
OeEB supports the development and expansion of
private sector projects in developing countries.
The legislative basis for the activities of OeEB was
created by an amendment to Austria’s Export Gua-
rantees Act (in German: Ausfuhrförderungsgesetz,
or AusfFG).
On this basis OeEB lends its support to projects that
require long-term financing and that have the ability to
repay such funding out of their own resources. Every
project must also have a positive sustainable impact
on local and regional economic development.
OeEB provides solutions not offered by commercial
banks in the various developing countries; its role is
thus supplementary to that of commercial banks.
OeEB offers the full range of long-term financing
options, from equity finance to loans. In principle, any
company based in an industrialised or developing
country can become a client of OeEB.
Working with the client, OeEB develops solutions
that are tailored precisely to the specific project, the
current financial and business situation and the risk
profile of the country in question.
A key aspect of client selection is the application of
responsible-finance principles: In this regard, OeEB
bears in mind environmental and social criteria as well
as transparency and corporate governance standards.
Development transactions by their nature entail high
project and country risks. Before individual deals are
presented for approval to the Supervisory Board and to
the panels specified for this purpose by law, the
project risk and country risk are carefully analysed.
Some elements of this assessment are outsourced to
Oesterreichische Kontrollbank AG (OeKB) under a
service agreement.
Internationally, OeEB also works in close coordination
with international financial institutions (IFIs) and the
European development banks under the umbrella of
the Association of European Development Finance
Institutions (EDFI), whose goal is to jointly finance
private sector projects in developing countries and
transition economies.
Management report
i.
Business activities and terms of reference