Kyiv, Ukraine, May 8, 2008 — IFC,
a member of the World Bank Group, has announced that Raiffeisen Bank Aval
is the first issuing bank in Ukraine to join the IFC Global Trade Finance
Program. IFC’s $30 million trade finance line to the bank will support
corporate clients and small and medium enterprises in the country.
The IFC Global Trade Finance Program supports entrepreneurs in countries
where trade is restricted. It offers banks guarantees that enable them
to issue trade finance to businesses.
Volodymyr Lavrenchuk, CEO of Raiffeisen Bank Aval, said, “Signing this
agreement shows that despite the crisis in international markets, Raiffeisen
Bank Aval remains a reliable partner, demonstrating dynamic growth and
high performance. Our continuing cooperation with IFC will add value for
the clients we are targeting.”
Georgina Baker, IFC Director for Global Financial Markets, said, “We are
delighted to welcome Raiffeisen Bank to the Global Trade Finance Program.
Through the participating banks, we are able to reach underserved markets
and entrepreneurs that have limited access to finance.”
Elena Voloshina, Head of IFC Operations in Ukraine, said, “IFC’s partnership
with Raiffeisen Bank began in 2004, and we continue to find new and innovative
ways to work together.”
In 2007 the IFC Global Trade Finance Program doubled the volume of guarantees
issued and the number of participating banks and countries covered. Launched
in 2005, the program recently reached a milestone of $2 billion worth of
guarantees issued, representing 2,500 individual trades. Today, over 200
banks can work with one another to facilitate trade flows between challenging
markets. The program continues to benefit entrepreneurs, with 50 percent
of the guarantees issued supporting trade in the poorest countries.
IFC also provides advisory services and training that helps banks build
capacity and improve trade operations. The program has reached more than
170 banks through training courses in Cameroon, Ethiopia, Ghana, Kenya,
Liberia, Mexico, Nicaragua, Rwanda, Senegal, Sierra Leone, South Africa,
and Trinidad and Tobago.
IFC, a member of the World Bank Group, fosters sustainable economic growth
in developing countries by financing private sector investment, mobilizing
private capital in local and international financial markets, and providing
advisory and risk mitigation services to businesses and governments. IFC's
vision is that people should have the opportunity to escape poverty and
improve their lives. In FY07, IFC committed $8.2 billion and mobilized
an additional $3.9 billion through syndications and structured finance
for 299 investments in 69 developing countries. IFC also provided advisory
services in 97 countries. For more information, visit www.ifc.org.
Ukraine became a shareholder and a member of IFC in 1993. As of March 31,
2008, IFC had invested around $887 million in 38 projects in the country.
IFC’s investment program is expanding rapidly, with a focus on Ukraine’s
financial, agribusiness, construction materials, retail trade and services,
energy, and infrastructure sectors. IFC also offers advisory programs
in Ukraine on leasing, agribusiness, mortgage finance, and improving the
business environment. For more information, visit www.ifc.org/ukraine.
About Raiffeisen Bank Aval
Raiffeisen Bank Aval, founded in March 1992, is one of the largest Ukrainian
banks. As of January 2008, its capital amounted to 5.2 billion hryvnias,
with net assets of 44.5 billion hryvnias and a loan and investment portfolio
of 37.6 billion hryvnias. Raiffeisen Bank Aval’s network comprises some
1,180 branches throughout Ukraine. It is a subsidiary of Raiffeisen International
Bank-Holding AG, a part of the Austrian Raiffeisen Banking Group that acts
as the steering company for one of the largest banking networks in Central
and Eastern Europe. For more information, visit www.aval.ua/eng.