DEFINITION of 'European Bank for Reconstruction and Development - EBRD'

A bank was established in 1991 to aide ex-Soviet and Eastern European countries transitioning into democracies by developing free market economies. Today, the European Bank for Reconstruction and Developement (EBRD) continues its work in 27 countries from central Europe to central Asia, investing mainly in private banks and businesses including both new ventures and existing companies.

BREAKING DOWN 'European Bank for Reconstruction and Development - EBRD'

The EBRD is publicly-owned by shareholders in 61 countries and only supports countries committed to democratic principles. The EBRD also helps facilitate the transition of public companies to becoming privately-held entities as well as restructuring state-owned firms and helping to improve municipal services.

RELATED TERMS
  1. Central Bank

    The entity responsible for overseeing the monetary system for ...
  2. Multilateral Development Bank - ...

    Multilateral Development Bank (MDB) is an international financial ...
  3. European Monetary System - EMS

    A 1979 arrangement between several European countries which links ...
  4. Key Currency

    The currency used as a reference in an international transaction ...
  5. Organisation for Economic Co-operation ...

    A group of 30 member countries that discuss and develop economic ...
  6. International Bank Account Number ...

    A standard numbering system developed to identify bank accounts ...
Related Articles
  1. Insights

    What Are Central Banks?

    They print money, they control inflation, and much, much more. All you need to know about central banks is here.
  2. Tech

    Can Bitcoin Kill Central Banks?

    Bitcoin is a peer-to-peer unofficial currency that operates without government or central bank oversight. Can Bitcoin kill off the need for central banks?
  3. Investing

    European Banks: Growth in 2016?

    Understand the potential growth drivers of the European banking sector and whether 2016 will be a year of growth or continued stagnation.
  4. Insights

    The World's Top 10 Banks

    Learn more about the world's largest banks and how more financial power shifts eastward as China is home to four of the world's largest banks.
  5. Insights

    How the Fed Profits From Quantitative Easing

    Central Banks including the U.S. Federal Reserve are making rich profits from stimulative measures such as Quantitative Easing (QE).
  6. Insights

    World Bank Data For Dummies

    Developing countries can't always afford to track the data crucial to setting the right economic policies and programs. That's where the World Bank steps in.
  7. Personal Finance

    Market Economy

    In a market economy, economic decisions and prices are determined by market forces rather than by central planning.
  8. Insights

    The Marshall Plan and the Revitalization of Post War Europe

    The Marshall Plan helped revive the economies of Western Europe after WWII largely by reforms that created greater economic cooperation in the region.
  9. Investing

    Get To Know The Major Central Banks

    The policies of these banks affect the currency market like nothing else. See what makes them tick.
  10. Insights

    Top 25 Developed and Developing Countries

    The difference between developed and developing countries, along with a list of the status of 25 nations around the world.
RELATED FAQS
  1. How does investment banking differ from commercial banking?

    Discover how investment banking differs from commercial banking, the responsibilities of each and how the two can be combined ... Read Answer >>
  2. Is Colombia an emerging market economy?

    Learn the definition of an emerging market economy, and understand how Colombia, while not yet developed, meets the standards ... Read Answer >>
  3. How do central bank decisions affect volatility?

    Using an aggregate, macroeconomic perspective, take a look at how some of the ways central bank decisions can impact market ... Read Answer >>
  4. Who determines interest rates?

    In countries using a centralized banking model, interest rates are determined by the central bank. In the first step of interest ... Read Answer >>
  5. How does privatization affect a company's shareholders?

    The most recognized transition between the private and public markets is an initial public offering (IPO). Through an IPO, ... Read Answer >>
Trading Center