ASTANA, Kazakhstan, December 5. The European Bank for Reconstruction and Development (EBRD) will provide a senior loan of up to $12 million (11.25 million euros) in KZT equivalent, as determined at the time of disbursement, to Shinhan Bank Kazakhstan ("SBK"), a mid-sized Kazakhstan bank 100 percent owned by Shinhan Bank Co. Ltd., South Korea (parent bank), Trend reports.
The loan will be delivered in two equal tranches to local micro, small, and medium-sized companies (MSMEs) under the Financial Intermediaries Framework ("FIF").
Shinhan Bank Co. Ltd. (the parent bank) will completely guarantee the loan.
Based on the implementation of 114 active portfolio projects, the European Bank for Reconstruction and Development's current project portfolio in Kazakhstan totals 2.8 billion euros as of October 31, 2023.
Sustainable infrastructure projects account for 70 percent of the whole portfolio (1.97 billion euros). The EBRD's investments support the industry, commerce, and agro sectors as well, with projects totaling around 689 million euros accounting for nearly 24 percent of the portfolio.
Furthermore, the EBRD's support for the financial sector of Kazakhstan, with investments in financial institutions comprising 5 percent of the portfolio, amounts to 148 million euros.