Baku, Azerbaijan, June 3
Trend:
TuranBank signed a loan agreement with WorldBusiness Capital, Inc. (WBC) in an additional amount of $7 million for a period of 7 years, the bank said on June 3.
"As a result of negotiations held with WBC during the second quarter of the current year, a loan facility was allocated in the amount of $7 million for a period of seven years for SME financing, which is considered one of the primary strategic directions of the Bank's operation," according to the statement.
The transaction was supported by the Overseas Private Investment Corporation (OPIC), an agency of the U.S. government. Directed at contributing to the development of small and medium entrepreneurship in Azerbaijan, the funds received for a total period of seven years will expand opportunities within the financing of small and medium business projects among the Bank's existing and new customers.
This is the second loan agreement the Bank has signed with WBC. The first loan agreement was concluded in the amount of $7.5 million for a period of 10 years for SME financing as of June 29, 2009.
In addition to WBC/OPIC, the Bank cooperates with the National Fund for Entrepreneurship Support and State Agency for Agricultural Loans from among local institutions.
It has been contributing to the development of the non-oil sector, which is deemed significant for the country, by means of implementing joint projects with USAID, World Bank Group, including International Finance Corporation (IFC), International Development Association (IDA) as well as International Fund for Agricultural Development (IFAD), Islamic Development Bank group, including Islamic Corporation for the Development of the Private Sector (ICD), International Islamic Trade Finance Corporation (ITFC), Black Sea Trade and Development Bank (BSTDB), Bank im Bistum Essen, Societte Generale, BCP, ZiraatBank, BankAsya for providing small and medium-sized enterprises with necessary financial resources.