EBRD ready to invest - provided it has a greater say in corporate strategy

The European Bank for Reconstruction and Development (EBRD) is considering investing in state-owned banks, infrastructure projects and the steel sector if the terms are right. EBRD deputy president and a former Polish central bank governor Hanna Gronkiewicz-Waltz, said they may consider taking a stake in savings giant PKO BP and agriculture Bank Gospodarki Zywnosciowej (BGZ). The government said it might float minority stakes in these financial institutions as early as next year, but would like to retain strategic control over them. Gronkiewicz-Waltz warned that if the government plans to limit private shareholders' rights, it would deter the EBRD from going ahead with its projects. She said, "We are looking for new investments. But when we help finance initiatives we expect to have an influence on the management strategy". Potential areas of investment include freeways, raising sewage and waste management facilities to EU standards and in the steel sector. (Reuters)