Second largest bank of Uzbekistan actively draws foreign loans

Business Materials 1 February 2018 17:53 (UTC +04:00)

Tashkent, Uzbekistan, Feb. 1

By Mamed Dashdemirov – Trend:

The second biggest commercial bank of Uzbekistan - "Asaka" Joint-Stock Commercial Bank has completed deals on obtaining credit lines worth almost $120 million, the bank's management told Trend.

"Asaka" signed deals with China Development Bank ($40 million deal) and with Export–Import Bank of China ($18 million deal). The funds will be used to finance the investment projects and import of goods from China.

Also, last year "Asaka" bank signed a $65-million general interbank loan agreement with the Export–Import Bank of Korea. The deal envisages crediting of investment projects and import of equipment from South Korea.

None of the signed documents about the obtainment of the credit lines from foreign banks do not require any state guarantee.

“Asaka” Bank signed an agreement with China Export & Credit Insurance Corporation ("Sinosure") thus becoming the first bank in Uzbekistan that may use the insurance coverage of “Sinosure” as a loan support for purposes of credit attraction from Chinese banks.

As of year-end 2017 assets of “Asaka” Bank have grown by 2.3 times and totaled to 24.3 trillion soums, including the credit portfolio which has grown 3 times and has reached 15.8 trillion soums with 98 percent of long-term loans.

(8,175.77 soums = 1 USD on Feb. 1)