Azerbaijan, Baku, 26 May / corr. Trend I. Khalilova/ The non-banking credit organization CredAgro is holding talks with the International Finance Corporation (IFC) to get the credit for the development of a small and medium business," a source in CredAgro reported. The volume of the loan and its terms are being determined at present. The agreement is expected to be signed in mid-July.
The total volume of the loans granted to CredAgro so far makes up $30mln. CredAgro, as a non-banking organization works with a restricted license, therefore it carries out financing out of the proceeds of the secured loans. CredAgro cooperates with 15 international financial organizations, foreign investment funds and other investor including EBRD, the Swiss micro-finance fund Dexia / Blue Orchard and others.
The current credit portfolio of CredAgro makes up AZN32mln and it is expected to reach AZN50mln by the end of 2008.
The only founder of CredAgro is an international humanitarian organization ACDI-VOCA, which established non-banking credit organization in Azerbaijan 8 years ago. The authorized capital stock of the organization is $5,000- with aggregate capital of AZN7mln.
At present, the activities of CredAgro focus on financing projects in the regions and it covers 27 regions. The Bank has established 9 representations and several back offices. The Bank finances various spheres including trade operations, infrastructure, leasing and consumer crediting. The credit is granted for CredAgro with 36% interest rate annually for 3 year term.
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