OREANDA-NEWS. On 19 August 2008 was announced, that IFC, a member of the World Bank Group, is investing in Uzbek Leasing International A.O., Uzbekistan’s first leasing company and an existing IFC client. The USD 3.0 million loan will help the company expand financing options for micro and small enterprises. 

Since 2002, Uzbek Leasing International has participated in IFC’s leasing advisory program in Central Asia and has strengthened its operations. “A new loan from IFC will create a strong platform for expanding our services to the SME sector,” said Zafar Mustafaev, CEO of Uzbek Leasing International. 

IFC is working to increase access to finance for micro and small enterprises by strengthening local financial institutions and providing credit lines for financing and leasing. “This loan will help more private companies in Uzbekistan get the long-term financing they need to grow their businesses,” said Lars Thunell, IFC Executive Vice President and CEO. “It also helps Uzbek Leasing International set an example for others to follow.”

IFC has played a key role in developing Uzbekistan’s leasing sector, helping amend 11 pieces of legislation to facilitate leasing. As a result of these regulatory improvements, direct support for companies, and increased awareness, the local leasing market has grown by USD 220 million from 2001 to 2007.

Since 1994, IFC has invested USD 55 million in 14 projects in Uzbekistan’s food processing, construction materials, banking, and leasing industries. IFC’s current portfolio is worth about USD 6 million, most of which is invested in Asaka Bank, ABN AMRO Bank NB Uzbekistan, Hamkor Bank, Parvina Bank, and Uzbek Leasing International.