EBRD considering equity investment in Raiffeisen Bank Aval

Макроэкономика 07.07.2015 EBRD has announced its intention to acquire a significant minority stake in Bank Aval, Ukraine's seventh largest bank. EBRD routinely buys newly issued shares rather than purchasing shares from existing owners. Assuming a 15% stake, EBRD will probably pay UAH0.5bn (US$25m) for its investment. Although this investment is relatively small, it should have a positive impact on the Ukrainian banking sector as it provides both a net inflow of FX and a signal of assurance to other investors. Currently, nearly all capital inflows from foreign-owned banks were made through debt-to-equity conversions.