AccessBank gets $28m EBRD loan
The European Bank of Reconstruction and Development
(EBRD) has allocated a $28 million syndicated loan to an
Azerbaijani bank, as part of an agreement signed on Thursday.
AccessBank will receive most of the funds - $20m - for a term of three years. The remaining $8m is being provided for 18 months, with an option to extend it for the same term. The funds will be used to finance micro and small businesses in the country.
This is the first syndicated loan reached by AccessBank and the EBRD leadership. The agreement is meant to help AccessBank have access to capital markets and diversify its funding base.
AccessBank is the leading micro and small business lender in Azerbaijan, disbursing over 4,000 business loans for over $20 million every month. AccessBank is owned by six shareholders, including the EBRD, the International Finance Corporation, the Black Sea Trade and Development Bank, KfW Development Bank - the Development Bank of the German Government (20% each), AccessHolding - a strategic investor in microfinance (16.5%); and LFS Financial Systems GmbH - a German consulting company (3.5%).
The EBRD was established in 1991 when communism was crumbling in Central and Eastern Europe and ex-Soviet countries needed support to nurture a new private sector in a democratic environment. Today the EBRD uses the tools of investment to help build market economies and democracies in 27 countries from central Europe to central Asia.
AccessBank will receive most of the funds - $20m - for a term of three years. The remaining $8m is being provided for 18 months, with an option to extend it for the same term. The funds will be used to finance micro and small businesses in the country.
This is the first syndicated loan reached by AccessBank and the EBRD leadership. The agreement is meant to help AccessBank have access to capital markets and diversify its funding base.
AccessBank is the leading micro and small business lender in Azerbaijan, disbursing over 4,000 business loans for over $20 million every month. AccessBank is owned by six shareholders, including the EBRD, the International Finance Corporation, the Black Sea Trade and Development Bank, KfW Development Bank - the Development Bank of the German Government (20% each), AccessHolding - a strategic investor in microfinance (16.5%); and LFS Financial Systems GmbH - a German consulting company (3.5%).
The EBRD was established in 1991 when communism was crumbling in Central and Eastern Europe and ex-Soviet countries needed support to nurture a new private sector in a democratic environment. Today the EBRD uses the tools of investment to help build market economies and democracies in 27 countries from central Europe to central Asia.
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