BAKU, Azerbaijan, Oct. 1
By Fakhri Vakilov – Trend:
The Asian Development Bank (ADB) and the Sanoat Qurilish Bank (SQB) of Uzbekistan signed an agreement on a revolving credit line, Trend reports citing Uzbek media.
The agreement was signed on September 30 at the Economic Forum of Uzbekistan-2021 in Tashkent.
Under the new agreement, ADB's Trade and Supply Chain Finance Program (TSCFP) will provide up to $16.6 million to support SQB's trade finance transactions.
The revolving credit line will enhance SQB's ability to provide trade credit to its clients, including the rapidly growing base of small and medium-sized enterprises (SMEs). Trade finance includes short-term loans and guarantees, which means that the amount of the revolving loan can be used several times a year.
TSCFP works with eight banks in Uzbekistan and, as of July 2021, has provided nearly $2 billion through 707 trades. Of this amount, 61 percent was co-financed by the private sector. This co-financing allows Uzbek banks to use ADB’s resources to help developing member countries further increase their exports and create additional jobs.
---
Follow author on Twitter:@vakilovfaxri