Summary of Proposed Investment
Project Number
8701
Company Name
STATE JOINT-STOCK COMMERCIAL BANK ASAKA BANK
Date SPI Disclosed
Apr 14, 1999
Country
Uzbekistan
Industry
Financial Markets
Status
Completed
Sector
Commercial Banking - General
Department
Global Industry, Financial Markets
Environmental Category
FI
Previous Events
Approved : Jun 21, 1999
Signed : Dec 31, 1999
Invested : May 2, 2001
Project Description
Summary Of Project Information (SPI)
| Project Name: | Uzbekistan: Asaka Bank SME Credit Line |
| Region: | Central Asia, Middle East and North Africa |
Sector:
Project No:008701
Projected Board Date:May 28, 1999
Company Name:Asaka Bank
Technical Partner and/or Major Shareholders
Asaka Bank shareholding structure is the following: 98.33% Ministry of Finance, 0.67% National Bank of Uzbekistan, 0.67% Narodny Bank, and 0.33% Uzavtosanoat. The Government has announced plans to privatize this institution.
Project Cost Including proposed IFC investment
A loan: US$10 million
Location of project and Description of site
Uzbekistan
Description of Company and Purpose of Project
Asaka Bank (Asaka) was established as a Specialized State Joint-Stock Commercial Bank in November of 1995, and commenced operations in February of 1996. Asaka was formed in order to bring more diversity and competition to the banking sector in Uzbekistan. Asaka is the second best capitalized bank in the country; it is ranked 4th in terms of asset size and 6th in terms of deposits. The project seeks to address the scarcity of term finance available in Uzbekistan, especially to recently privatized or newly created private sector small and medium-sized enterprises (SMEs). The 8-year facility would be used by the Banks to provide long-term project finance to SMEs.
Environmental Category and Issues
This is a Financial Intermediary (FI) Type 2 project according to IFC''s environmental review procedure. Asaka Bank must require all subprojects to be carried out and operated in compliance with applicable host country environmental, health and safety requirements. In addition, subprojects whose total project cost is less than US$500,000 must be consistent with IFC''s Microfinance Exclusion List. Subprojects whose total project cost is US$500,000 or greater must be carried out in accordance with IFC environmental and social safeguard policies, be consistent with IFC''s Exclusion List, and meet the host country requirements. Asaka OF Bank must obtain IFC clearance prior to making any investment with IFC funds in any Category A project. asaka Bank must participate in environmental training, develop an environmental management system and provide an annual environmental performance report.
| Date SPI sent to InfoShop: | April 15, 1999 |
“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 974-4384
Sponsor / Cost / Location
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