Azerbaijani bank and IFC sign technical support agreement
Azerbaijan, Baku, June 3 / Trend /
The Azerbaijani DemirBank and the International Finance Corporation (IFC) have signed an agreement on technical support program, the bank reported.
The bank informed that involvement in this program will enable DemirBank to strengthen activities in relevant directions on the basis of international practice and consulting services of foreign experts.
The program includes technical assistance in directions as follows: credit portfolio management, risk management information, management system, human resources management and internal audit development.
The signed agreement covers works on the 1st module of the program. According to the agreement, 50 percent of financing on the 1st module will be carried out by the IFC and the rest by DemirBank. Duration of the 1st module of the project is six months. Foreign experts will be drawn for participation in the project.
The IFC chose candidates for participation in the project on the basis of long-term assessment of companies. Involvement of interested foreign organizations in financing of the project is also expected.
"DemirBank conducts different works to improve business processes and institutional development within large reforms in the bank. The bank's involvement in this project reflects its aspiration to develop activity in the mentioned directions and access to a new level of activity. On the other hand, inclusion of DemirBank in this program following IFC's assessment is positive indicator. The IFC program will influence favorably on the country's financial sector and our bank's development," DemirBank Board Deputy Chairman Yusif Jabbarov said.
"We are glad to cooperate with DemirBank in the area of risk management and procedures of the bank's portfolio management. We are sure that the IFC's technical support will provide additional opportunities for the bank's development and have positive impact on development of Azerbaijan's banking sector," IFC project manager Garth Bedford said.
One of the first banks of Azerbaijan, DemirBank (formerly Azerdemiryolbank) has been operating since October 1989. The bank's shareholders include large international financial institutions, such as European Bank for Reconstruction and Development (EBRD) and Netherlands Development Finance Company (FMO).