Tashkent, Uzbekistan, January 21, 2015
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The World Bank Group is helping Uzbek banks improve agri-financing operations and offer better and more diversified financial services to local farms and agri-businesses, contributing to economic growth and shared prosperity.
As part of this effort, IFC, a member of the World Bank Group, today is conducting a two-day workshop for Hamkorbank’s representatives. The event focuses on practical aspects of agri-leasing operations and includes sessions on financial analysis of agri-leasing contracts and risks associated with agri-leasing deals.
Agriculture plays an important role in Uzbekistan’s economy, where half of the population lives in rural areas and depends on farming or food production for their livelihoods. Despite the significant financing needs of farmers and agri-businesses, the financial sector lacks the necessary skills and tools to serve this sizable market.
Olmahon Turajonova, Chair of the Board of Hamkorbank, said: "We are delighted with our long-running cooperation with IFC which helped the bank considerably increase its portfolio of agricultural loans. We will continue our efforts to expand and diversify the range of services to farmers and agri-businesses in Uzbekistan."
"The training program aims to help Hamkorbank to expand its agri-business portfolio by including and strengthening agri-leasing operations," said Zafar Khashimov, IFC Country Officer. "Through supporting such banks as Hamkorbank, IFC helps spur access to finance for farmers and businesses involved in the agricultural sector."
This initiative is part of the World Bank Group Finance & Markets Global Practice’s Central Asia Agri-finance Project, which aims to develop a set of agri-financing tools and training programs for financial institutions, aggregators, and farmers in the Kyrgyz Republic, Tajikistan, and Uzbekistan. The project is supported by funds from the Austrian Federal Ministry of Finance.
About the World Bank Group
The World Bank Group is one of the world's largest sources of funding and knowledge for developing countries. It comprises five closely associated institutions: the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA), which together form the World Bank; the International Finance Corporation (IFC); the Multilateral Investment Guarantee Agency (MIGA); and the International Centre for Settlement of Investment Disputes (ICSID). Each institution plays a distinct role in the mission to fight poverty and improve living standards for people in the developing world. For more information, please visit .
www.worldbank.org
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About the Finance and Markets Global Practice
The Finance & Markets Global Practice aims to help countries build deep, diversified, inclusive, efficient and stable financial systems which are essential to promoting economic growth and reducing poverty and increasing shared prosperity. The practice is committed to delivering public and private sector tailored solutions to development challenges by leveraging the whole range of the Bank Group's financial, knowledge/advisory and convening services for clients. In doing so, the practice not only partners with the broader World Bank finance team (IFC, WB, MIGA and WB/IFC Treasuries) but also acts as an enabler for all of the other GPs and Cross-Cutting Groups.
As a joint World Bank -IFC practice, the Finance & Markets Practice brings together the World Bank's knowledge, finance (loans, credits, guarantees, risk management products), and convening services, and IFC advisory at the industry and public sector level into a single suite of development solutions for our clients and the global community to support reaching the twin goals of eliminating extreme poverty and promoting shared prosperity.
Today, this suite of financial solutions is in excess of US$10 billion in current and pipeline engagement commitments. The Global Practice has an ongoing portfolio of about 400 knowledge activities (with costs up to $73 million) and 98 IFC advisory services (valued at $136 million).
