Minsk, Belarus, July 8, 2010 - IFC,
a member of the World Bank Group, is joining the Bank of Georgia in supporting
the growth strategy of Belarusky Narodny Bank, contributing to development
of the banking sector and expanding access to finance for small and medium
companies in Belarus.
IFC will buy 19.9 percent of equity and provide a $5 million loan to Belarusky
Narodny Bank, a midsize Belarusian bank with strong focus on small and
medium enterprise finance. This financing will complement a recent investment
in the bank by IFC’s long-term partner, Bank of Georgia.
Craig Bell, IFC Country Representative for Belarus, said, “We are very
pleased to support this cross-country investment. Belarusky Narodny Bank
is IFC’s first client bank in Belarus to be the recipient of equity investment,
debt, and trade finance - all financial instruments to support the growth
and development of the bank in the Belarusian market.”
Nikoloz Shurgaia, Chairman of the Supervisory Board of Belarusky Narodny
Bank, said, “We welcome IFC as our new shareholder. Its high reputation
and experience in developing financial institutions globally will give
Belarusky Narodny Bank additional impetus to develop into a leading bank
in terms of transparency, reliability, and client orientation, and provide
high-quality services to small and medium enterprises and people of Belarus.”
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 capital for private enterprise, and providing advisory and risk
mitigation services to businesses and governments. Our new investments
totalled $14.5 billion in fiscal 2009, helping channel capital into developing
countries during the financial crisis. For more information, visit www.ifc.org.
Belarus joined IFC in 1992. IFC has been actively involved in advisory
services in the country since 1993, starting with the privatization of
small businesses. IFC currently focuses its efforts on business environment
and investment climate improvement. From 2004 through June 2010,
IFC has committed about $260 million in loans and invested in a number
of projects in Belarus.
About OJSC Belarusky Narodny Bank
Belarusky Narodny Bank is a commercial bank offering a broad range of financial
services in Belarus. Small and medium enterprises and affluent individuals
are the bank’s main target customer groups. As of February 2010, the bank
served its customers through four branches—three in Minsk and one in Vitebsk.
The bank’s authorized capital is 69.2 billion Belarusian rubles. Bank
of Georgia controls 79.99 percent of Belarusky Narodny Bank shares; IFC
controls 19.99 percent of shares. For more information, visit www.bnb.by.
For more information about the Bank of Georgia, visit www.bog.ge/ir.