Azerbaijan, Baku / corr Trend I.Khalilova / Talks between Bank Respublika and the International Financial Corporation (IFC) on purchase of share in the capital of the Azerbaijani capital in 2007 is still to complete.
Khadija Hasanova, chairman of the Managing Board of the bank, said on 17 December this issue will be considered at a meeting of shareholders of Bank Respublika in April 2008.
Talks are held over the purchase of up to 10% of share of Bank Respublika.
The Board of IFC took a decision on investing up to $4,5 mln. to the capital of Bank Respublika. In addition, the Corporation will open a credit line at $1,5 mln. with the term of 5 years and with the postponement of payment of the main debt of 2 years. The Bank considers that the agreement on the credit line may be concluded within a quarter. The credit resources are considered for the support of the development of the small-scale and middle-sized entrepreneurship in Azerbaijan.
Under the agreements signed between Bank Respublika and leading German financial institutions on 28 April 2005, DEG (a member of KfW group of banks) and Sparkassen International Development Trust (SIDT - a member of Sparkassen-Finanzgruppe financial group) are the stockholders of the bank. They purchased the stock package of 25% + one stock.
Moreover, on 17 December Bank Respublilka concluded with the Asian Development Bank a contract on allocation of subordinated loan for $10mln, which will be directed at the capital of second level for the term of 8 years.