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18-11-2014, 11:52

EBRD to Provide 5 Mln U.S. Dollars for Micro, Small Enterprises in Tajikistan


Avesta.Tj | 18.11.2014 | The European Bank for Reconstruction and Development (EBRD) will provide a new loan to microcredit deposit-taking organization IMON International, CJSC for micro and small enterprises in Tajikistan, the EBRD office said on Tuesday.


The 5 million U.S. dollars loan agreement was signed during EBRD President Suma Chakrabarti’s visit to Dushanbe. The loan, in Tajik somoni, will be used by IMON for on-lending to micro and small-sized enterprises (MSEs).


Richard Jones, Head of the EBRD Resident Office in Dushanbe, said: "With this four-year senior loan in somoni, the EBRD expects to make an important contribution in the microfinance sector by reducing foreign currency exposure for IMON International and its clients.”


The EBRD has a longstanding relationship with IMON, in which it is a shareholder. A first loan of 1 million U.S. dollars was provided in 2005, and a further six loans were extended for a total of 15 million U.S. dollars.


In November 2013, the EBRD became a shareholder in IMON, alongside the Netherlands Development Finance Company (FMO), with the aim of supporting IMON’s goal to become a dedicated microfinance bank.


Since the beginning of its operations in the country, the EBRD has invested 360 million euro in Tajikistan across many sectors of the economy.


IMON is the largest microfinance institution in Tajikistan with more than 83,000 customers served by the organisation’s extensive national network of 127 branches and service outlets. In December 2012, IMON received deposit taking license and currently offers a range of loan and deposit products for businesses, sole entrepreneurs, MSMEs and farmers; its primary focus is on underserved, economically active members of the Tajik population.