Baku, Azerbaijan, December 29,
2014—IFC, a member of the World Bank Group, is helping TuranBank expand
lending to micro, small, and medium enterprises (MSMEs) in Azerbaijan,
allowing those businesses to grow, create jobs, and contribute to the country’s
IFC is providing a $7 million loan to TuranBank,
which will help meet the lender’s long-term funding needs and support
the growth of its MSME portfolio. Access to finance is one of the key challenges
for smaller enterprises in Azerbaijan. IFC’s loan will address this by
supporting the bank’s efforts to reach underserved businesses and low-income
entrepreneurs, especially in rural areas.
"We highly value the next stage of cooperation
with IFC,” said Nazim Sadigov, Chairman of the Management Board of TuranBank.
“With support from IFC, the bank’s MSME lending capacity will expand,
contributing to sustainable development and helping reduce the country’s
dependence on the oil and gas sector.”
Aliya Azimova, IFC Country Representative
in Azerbaijan, said: “Our cooperation with TuranBank is part of our efforts
to help promote the growth of private companies outside the oil sector,
supporting the diversification of Azerbaijan’s economy. IFC’s investment
aims to create greater economic opportunities for entrepreneurs who plan
to set up companies or intend to expand them.”
IFC has been working with TuranBank since
2009, starting with a corporate governance program, continuing with SME
banking and risk management advisory programs. In 2011, IFC provided the
bank with a $7 million loan to increase lending to small-scale entrepreneurs
in Azerbaijan. IFC’s Global Trade Finance Program (GTFP) has recently
provided a series of training programs to help the bank process trade transactions.
Azerbaijan became a member of IFC in 1995.
Since then IFC has invested $414 million in 73 projects in the financial
services, infrastructure, and manufacturing sectors, and mobilized $73
million from other lenders. IFC has also implemented advisory projects
focused on developing the private sector.
IFC, a member of the World Bank Group, is
the largest global development institution focused exclusively on the private
sector. Working with private enterprises in about 100 countries, we use
our capital, expertise, and influence to help eliminate extreme poverty
and boost shared prosperity. In FY14, we provided more than $22 billion
in financing to improve lives in developing countries and tackle the most
urgent challenges of development. For more information, visit www.ifc.org
For more information about TuranBank,
please visit: www.turanbank.az