Dushanbe, Tajikistan, February 8,
2012—IFC, a member of the World Bank Group, is helping Microcredit
Deposit-taking Organization Arvand to build an agricultural leasing business,
improving farmers’ access to finance and enabling them to make their operations
The IFC Tajikistan Agribusiness Finance
and Business Environment Project will work with MDO Arvand to help develop
its agricultural equipment portfolio in the Istaravshan and Rasulov districts
of Sughd Province in northern Tajikistan. IFC will develop a methodology
for making leases of agricultural equipment, using IFC’s risk assessment
tools, and will assist Arvand staff in making the leases. In addition,
IFC will design a training module for Arvand lending officers on the agri-leasing
“Arvand intends to start leasing agricultural
equipment to farmers and agribusinesses in Sughd Province,” said Shoira
Sadykova, General Director of MDO Arvand. “IFC will help develop a strong
leasing methodology that will enable us to establish an agricultural equipment
portfolio while maintaining strong asset quality.”
Raiomand Billimoria, IFC Project Manager,
said, “Farmers in northern Tajikistan lack access to finance for agricultural
equipment. IFC’s Tajikistan Agribusiness Finance and Business Environment
Project will help Arvand enable farmers and agribusinesses to purchase
new and efficient machinery, leading to improved productivity and profitability.”
The European Union funds IFC’s Tajikistan
Agribusiness Finance and Business Environment Project. The project aims
to improve the regulatory and policy environment for agriculture, as well
as promote access to finance through a focus on agri-leasing. IFC provides
advisory services to financial institutions in order to build capacity
for agri-leasing, and assists government agencies to implement reforms
that benefit the agriculture sector.
IFC has expanded its investment program
in Tajikistan significantly in the last three years with commitments of
$27 million in 10 projects in financial markets, manufacturing, and infrastructure.
IFC’s advisory program in Tajikistan is its largest in Central Asia. Various
programs focus on developing financial markets through credit information
systems, microfinance, agricultural finance, and leasing. IFC’s corporate
governance program promotes transparency and good governance in larger
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. We help developing countries achieve sustainable growth
by financing investment, providing advisory services to businesses and
governments, and mobilizing capital in the international financial markets.
In fiscal 2011, amid economic uncertainty across the globe, we helped our
clients create jobs, strengthen environmental performance, and contribute
to their local communities—all while driving our investments to an all-time
high of nearly $19 billion. For more information, visit www.ifc.org.
Limited Liability Company Microcredit
Deposit-taking Organization Arvand, operating since 2002, is the second-largest
microfinance institution in Tajikistan. As of today, it has 35 offices
throughout the country, over 15,500 borrowers, and 950 deposit clients.
With a loan portfolio of 65 million Tajik Somoni, it has one of the best
quality portfolios among financial institutions in Tajikistan. For more
information, visit www.mdoarvand.tj.
About the EU
The European Union is made up of 27
Member States who have decided to gradually link together their know-how,
resources and destinies. Together, during a period of enlargement of 50
years, they have built a zone of stability, democracy and sustainable development
whilst maintaining cultural diversity, tolerance and individual freedoms.
The European Union is committed to sharing its achievements and its values
with countries and peoples beyond its borders. To this end the EU is active
in Tajikistan since 1992 and provides approximately EUR 25 million annually
in development assistance. For more information, visit www.deltjk.ec.europa.eu.