Almaty, Kazakhstan, September 28,
2009—IFC, a member of the World Bank Group, announced today it will
invest in JSC Bank CenterCredit, providing long-term capital that will
help promote access to finance for small and medium enterprises in Kazakhstan.
IFC will invest in a 12.5 percent equity
stake alongside local shareholders and the strategic investor Kookmin Bank
of South Korea, and provide an $85 million subordinated loan. IFC has previously
extended two senior loans and a trade finance line to BCC, a medium-sized
bank that focuses on small and medium enterprises.
“This important alliance with IFC and
Kookmin Bank will allow BCC to strengthen its positions in the local market,”
said Vladislav Lee, Chairman of BCC’s Management Board.
“BCC is a key partner for IFC in addressing
the financing needs of small and medium enterprises in Kazakhstan, which
are vital for private sector development,” said Shahbaz Mavaddat, IFC
Director for Southern Europe and Central Asia. ““IFC is pleased to provide
continued support to an existing client under challenging conditions in
international financial markets.”
BCC is the fifth largest bank in Kazakhstan
in terms of total assets, holding eight percent of the banking system’s
total assets and 14.4 percent of retail deposits. It provides a full range
of banking products, including corporate loans mainly to smaller businesses
and micro entrepreneurs, retail services, consumer loans, and mortgage
Kookmin Bank is the largest bank in
Korea with assets of $208.2 billion as of the end of 2008. It employs more
than 25,700 staff and has five overseas branches, four subsidiaries, and
three representative offices around the world. The bank provides standard
banking, insurance, credit card, and investment products services.
IFC, a member of the World Bank Group, creates opportunity for people to
escape poverty and improve their lives. We foster sustainable economic
growth in developing countries by supporting private sector development,
mobilizing private capital, and providing advisory and risk mitigation
services to businesses and governments. Our new investments totaled $14.5
billion in fiscal 2009, helping channel capital into developing countries
during the financial crisis. For more information, visit www.ifc.org.