BAKU, Azerbaijan, February 21. The European Bank for Reconstruction and Development (EBRD) is using various financial tools in order to support private sector development in Central Asian economies, Zsuzsanna Hargitai, EBRD Managing Director for Central Asia, told Trend.
"Central Asian economies are dominated by state-owned companies and we at the EBRD believe that private sector should play a greater role across the region, help create new sustainable jobs, increase competitiveness of the economies and its contribution to GDP in all countries should become more significant," she said.
According to the managing director, the EBRD is facilitating Foreign Direct Investment (FDI), which brings knowledge, technologies and builds value chains.
"Our Bank has various financial tools to support local private businesses. Credit lines and risk sharing arrangements with our partner-banks help us reach small businesses particularly in rural areas. We support their working capital needs, promote their trade and give them access to advanced technologies," she explained.
Moreover, the Bank’s Women in Business Program in Central Asia and Mongolia is implemented with local banks and helping promote local women’s entrepreneurship and business activity by assisting with access to finance, know-how and technical advice, the managing director said.
"Currently, the program is being implemented in hundreds of local micro businesses owned by women, which are now able to identify necessary growth opportunities and develop their sustainability," she added.
Also, the EBRD’s Green Economy Financing Facility program is supporting domestic individuals and businesses willing to invest in climate mitigation and adaptation technologies and services, Hargitai concluded.