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Demirbank syndicated A/B loan

June 7, 2014

Project Status : Active Project Location : Azerbaijan Country:Azerbaijan Project number: 45853 Business sector:Depository Credit Banks Public/Private: Private Environmental category: FI Target Board date:25 June 2014 Status: Passed final review, Pending board approval PSD disclosed : 21 May 2014 Project Description :A syndicated loan under A/B structure. The proposed syndicated loan proceeds will be used for on-lending to micro, small and medium-sized enterprises(MSMEs). Transition Impact :The proposed credit line is in line with EBRD s country strategy for Azerbaijan, and will further support the increase of financial intermediation in the market and promote competition. Supporting the development of private companies and the banking sector in Azerbaijan by increasing medium-term financing to the production sector through domestic banks will facilitate the strengthening of domestic production. Furthermore, the loan will increase the availability of funds to Azeri MSMEs to assist their expansion, and will demonstrate how attracting commercial investment to a country can support the financing of local MSMEs. The Client : Open Joint Stock Company Demirbank, a private commercial bank in Azerbaijan, majority-owned by private individuals. EBRD Finance : The EBRD will retain USD 13 million of the proposed syndicated loan of which USD 3 million will be funded through the Financial Intermediaries Special Fund. The balance of up to USD 37 million is to be syndicated on a best efforts basis. Project Cost : USD 50 million. Environmental Impact : Categorised FI. Demirbank is an existing client of the bank and has attended an environmental and social risk management training workshop organised by the Bank on 2010. Demirbank implements environmental and social procedures and is compliant with the Environmental and Social Exclusion List. Demirbank will need to ensure continuous compliance with the PRs2 and 9 and provide an ongoing E&S training to all new comers, especially in regional branches, to ensure consistency of the environmental and social due diligence an monitoring process throughout the entire portfolio. Company Contact : Aytan Gulusoy, Director International Relations Department Tel: +994 (12) 444 71 23 Business opportunities : For business opportunities or procurement, contact the client company. General enquiries :EBRD project enquiries not related to procurement: Tel: +44 20 7338 7168; Fax: +44 20 7338 7380 Email: Public Information Policy (PIP) : The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Project Complaint Mechanism (PCM) : The EBRD has established the Project Complaint Mechanism (PCM) to provide an opportunity for an independent review of complaints from one or more individuals or from organisations concerning projects financed by the Bank which a

Project completion date : 2015-05-31 12:00:00

Major organization : DEMIRBANK

Address : Kharabagh 31 Baku, AZ1008 Azerbaijan Website : Contact : Aytan Gulusoy, Director International Relations Department

Country :Azerbaijan

Financier : European Bank for Reconstruction and Development (EBRD),

Financier address : Financier: European Bank for Reconstruction and Development (EBRD) One Exchange Square London EC2A 2JN United Kingdom Website :

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Source: TendersInfo (India)

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