BAKU, Azerbaijan, Mar. 2
By Ilkin Seyfaddini – Trend:
The International Finance Corporation (IFC), a member of the World Bank Group, is providing a trade finance guarantee mechanism to Ipak Yuli Bank to help the bank increase international trade financing as part of its support for economic modernization, Trend reports via Uzbek media.
The agreement makes Ipak Yuli Bank the third Uzbek bank to join IFC's Global Trade Finance Program (GTFP).
The IFC's Global Trade Finance Program, with a total value of $5 billion, helps mitigate risk by providing guarantees on banks' trade commitments in emerging markets. IFC's trade development activities have supported trade transactions worth more than $180 billion in more than 90 countries around the world.
The individual guarantees given by IFC within the limits of GTFP depend on concrete transaction and can be supported by various basic tools, such as letters of credit, bills of exchange connected with trade, accepted bills of exchange, guarantees, bonds with the application and execution, and also guarantees of advance payments. Guarantees can be issued in support of all trade deals of private sector which correspond to IFC criteria.
Since 2018, IFC actively cooperates with Ipak Yuli Bank, which is one of the largest private banks in Uzbekistan, and provided the Bank with financing in the amount of $15 million.
IFC, a member of the World Bank Group, is the largest development institution focusing on supporting the private sector in emerging markets.
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