BSTDB Increases Local Currency Financing in Azerbaijan
Press Release | 12-Aug-2021
New AZN 10 million loan for TuranBank to support SMEs
The Black Sea Trade and Development Bank (BSTDB) has extended a new local currency SME facility of AZN 10 million to TuranBank for on-lending to domestic small businesses. The financing will enable TuranBank to increase availability of funds for small and medium-sized enterprises (SMEs) for their production and investment programmes and for working capital needs.
The new BSTDB local currency loan will facilitate the recovery and development of the SME sector in Azerbaijan, stimulate job creation and generate budget revenues.
Dmitry Pankin, BSTDB President, said: “We are happy to strengthen our support for Azerbaijani SMEs in the form of Manat financing and to reach out to new businesses in every part of Azerbaijan in cooperation with TuranBank. Providing fresh funds in the local currency will give great comfort to the small and medium enterprises and will not pose exchange rate challenges, especially amidst the ongoing pandemic.”
“We have been successfully cooperating with the Black Sea Trade and Development Bank (BSTDB) since 2011. In 2019, we financed small and medium enterprises (SMEs) by providing resources in manat currency, and we were able to provide an adequate number of our customers with that financial resource. The new second line of SME financing given by the BSTDB will allow increasing our activity further. At the same time, the allocation of resources in manat also protects us against currency risks. Henceforth, we will continue to contribute to the sustainable development of the real sector in the country with the support of international financial institutions, including the BSTDB.”, said Fazail Musayev, Chairman of the Management Board of TuranBank.
This is the BSTDB’s second Manat SME loan to Turanbnak after the successful utilization of the first facility provided in 2019, that reached more than 3000 SMEs in the country. BSTDB started cooperation with TuranBank in 2011, having extended two Trade Finance credit lines denominated in US Dollars before 2019.
Established in 1992, TuranBank OJSC is a fully licensed bank engaged in traditional banking business. In line with its corporate strategy, along with the principles of retail banking, the Bank attaches great importance to cooperation with international financial institutions focusing on the development of micro, small and medium entrepreneurship. As of end-2020, the bank had a network of 15 branches and 2 offices across the country. The Bank intends to contribute to the development of the non-oil sector segments like industry, agriculture, construction, commerce and service by carrying out projects to support micro, small and medium entrepreneurship. More info available on: https://www.turanbank.az/en
The Black Sea Trade and Development Bank (BSTDB) is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Türkiye, and Ukraine. The BSTDB headquarters are in Thessaloniki, Greece. BSTDB supports economic development and regional cooperation by providing loans, credit lines, equity and guarantees for projects and trade financing in the public and private sectors in its member countries. The authorized capital of the Bank is EUR 3.45 billion. BSTDB is rated long-term “A-” by Standard and Poor’s, “A2” by Moody’s and “A+” by the Russian credit rating agency ACRA. For information on BSTDB, visit www.bstdb.org.
Contact:
Haroula Christodoulou
E-mail: cchristodoulou@bstdb.org
Phone: +30 2310 290533
Twitter: @BSTDB; @Haroulax
