Baku, Azerbaijan, June 21, 2011—IFC,
a member of the World Bank Group, is providing Turan Bank with a $7 million
loan to increase lending to micro and small entrepreneurs in Azerbaijan.
The loan will help the bank to diversify services and expand operations,
especially in underserved rural areas.
IFC has supported Turan Bank since 2009,
when the bank participated in IFC’s Corporate Governance Advisory Services
Project pilot program, from which it is successfully graduating today.
The bank also participated in IFC’s Financial Markets Crisis Management
Project. As a result of these projects, Turan Bank improved its corporate
governance systems and strengthened its risk management capacity.
"IFC’s support over the past two years has been extremely beneficial
in improving our internal risk management systems and strengthening corporate
governance practices,” said Fuad Musayev, Turan Bank’s Chairman of the
Supervisory Board. "This cooperation has now culminated in the signing
of a credit line which we will use to extend the bank’s lending to small
and medium-sized businesses across the country.”
Ed Strawderman, IFC Senior Manager, said, “Turan Bank’s partnership with
IFC to date and the bank’s commitment to strengthening its corporate governance
and risk management practices are key factors that led IFC to provide this
loan. This financing will help Turan Bank to increase outreach to micro
and small businesses, which is part of IFC’s financial markets strategy
Azerbaijan joined IFC in 1995. As of
January 2011, IFC has committed $334 million of its own funds and arranged
nearly $104 million in syndications in Azerbaijan. IFC continues to support
diversification of the country’s economic base and sustainable growth
in the non-oil economy.
IFC’s Corporate Governance Advisory
Services Project and Financial Markets Crisis Management Project in Azerbaijan
are supported with funds from the Swiss State Secretariat for Economic
IFC, a member of the World Bank Group, is the largest global development
institution focused on the private sector in developing countries. We create
opportunity for people to escape poverty and improve their lives. We do
so by providing financing to help businesses employ more people and supply
essential services, by mobilizing capital from others, and by delivering
advisory services to ensure sustainable development. In a time of global
economic uncertainty, our new investments climbed to a record $18 billion
in fiscal 2010. For more information, visit www.ifc.org.
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