INVITATION

of

STRATEGIC INVESTORS

The First Albanian Financial Development Company (FAF-DC), recently founded

as the successor of the Mountain Areas Finance Fund (MAFF) and 100% owned by the

Republic of Albania, and represented by the Minister of Finance of the Republic of

Albania, invites the participation of strategic investors:

a) to support the strengthening of FAF-DC, institutionally as well as in terms of

developing supplementary financial products; and

b) to contribute a minimum of € 5 million in share capital in order to enable FAF-DC to

expand its business activities, with the possible future option of buying partially or

totally, the shares owned by the Republic of Albania.

The predecessor of FAF-DC, the Mountain Areas Finance Fund (MAFF), was

established in 1999 as a Government owned foundation, with the status as a non-bank

financial institution, within the framework of the IFAD loan financing the Mountain

Areas Development Programme (MADP).

The original mission of MAFF was to contribute to the economic growth of the

generally poorer mountain areas of Albania by providing access to appropriate and

sustainable financing of micro, small and medium enterprise (MSME) customers’ with

investment needs and business objectives.

Since its establishment, MAFF has successfully responded to its mandate and

developed into a stable and sustainable financial institution with a loan portfolio of good

quality, and with a strong position among private clients and MSMEs in rural and

mountain areas of Albania.

For MAFF to continue to respond to its mandate, it has been transformed into a nonbank

financial shareholding company, the First Albanian Financial Development

Company (FAF-DC).

2

Strategic investor/s invited should:

i. Preferably to be a foreign based private sector operator/s or a joint venture

with domestic investors.

ii. Be willing to to add value to the implementation of the strategy and

privatization process by contributing an equity capital of minimum Euros

5 million into FAF-DC as a down/payment or with instalments to be

disbursed within 12 months, and to maintain this equity position as a

minimum for a period of 3 years.

iii. Have an experience and ongoing operational focus on the financial

industry/sector at minimum of 3 years, and by comprehensively including

strategic investors as single participants or as a consortium of investors by

including experienced members in the areas of microfinance, investment

companies/funds, insurance, etc., reflecting the nature of FAF current and

future undertakings on servicing the IFAD target group in the mountain

areas, and be in line with the approved Strategy.

iv. However a pure financial investor should not be entitled to participate,

neither on their own nor as part of a consortium.

v. Have a minimum equity size as a single entity or totally as a consortium of Euros 30 million.

Interested investors are invited to address their expression of interest in writing at the

latest 12:00 AM, 12th July 2010 (Albania time) to:

FAF-DC Capital Restructuring Committee,

Att. The Secretary, Ms. Luiza Shehu

Address: Str. “Dervish Hima” No.4

Tirana –Albania

Tel/Fax: +355 4 2232937

Additional information can be obtained from the websites

www.faf-dc.com and   www.minfin.gov.al