Uzbek bank inks first individual loan deal with German consortium
Baku, Azerbaijan, Nov. 8
The Asia Alliance Bank JSCB has signed the first individual loan agreement in Uzbekistan with the German banking consortium AKA Ausfuhrkredit-Gesellschaft in order to finance procurement of technological equipment under backing of not only the German national export credit agency (ECA) Euler Hermes Aktiengesellschaft, but also other European ECAs, Gazeta.uz reported.
In August, a basic loan agreement was signed between the banks for the purpose of development of trade and economic relations of Uzbekistan with European countries. As part of this document, the AKA Bank has provided Asia Alliance Bank with a credit line to finance investment programs, including small business projects, involving the import of goods and services from the European Union.
The financing with participation of the German AKA Bank will allow customers of the Asia Alliance Bank JSCB to modernize their production assets, as well as will provide them with access to high-tech equipment. This will help improve the quality of finished products, expand production range, reduce production costs and find new markets.