Tajikistan : TAJ: Promoting Financial Inclusion through Greenfield Banking–
The investment package will support economic activity of underserved farmers, and micro and small and medium sized businesses (MSMBs).
With bank assets to GDP at less than 28% Tajikistan s financial intermediation is very low and trails far behind other transition economies. Intermediation spreads are high and the stability of banks is weak. Only 3 banks and 7 MFIs exceed 1000 borrowing clients. Although MFIs have made efforts in serving households and MSMBs, the overall significance of their outreach remains limited.
Project Details
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Project Officer
Cheema, Asif
Private Sector Operations Department
Request for information -
Approval Date
2 December 2014 -
Country/Economy
Tajikistan -
Modality
-
Sector
- Finance
| Project Name | TAJ: Promoting Financial Inclusion through Greenfield Banking– | ||||||||
| Project Number | 47915-001 | ||||||||
| Borrower / Company | ACCESSBANK TAJIKISTAN |
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| Country / Economy | Tajikistan |
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| Location | |||||||||
| Type or Modality of Assistance |
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| Strategic Agendas | Inclusive economic growth |
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| Drivers of Change | Governance and capacity development Knowledge solutions Partnerships Private sector development |
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| Sector / Subsector | Finance / Banking systems and nonbank financial institutions |
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| Gender | Some gender elements | ||||||||
| Responsible ADB Department | Private Sector Operations Department | ||||||||
| Responsible ADB Division | Private Sector Financial Institutions Division | ||||||||
| Responsible ADB Officer | Cheema, Asif | ||||||||
| Project Sponsor(s) | |||||||||
| Description | The investment package will support economic activity of underserved farmers, and micro and small and medium sized businesses (MSMBs). With bank assets to GDP at less than 28% Tajikistan s financial intermediation is very low and trails far behind other transition economies. Intermediation spreads are high and the stability of banks is weak. Only 3 banks and 7 MFIs exceed 1000 borrowing clients. Although MFIs have made efforts in serving households and MSMBs, the overall significance of their outreach remains limited. Access Bank, Tajikistan (AB) was established in April 2010 and currently serves about 7,000 customers in 6 branches with an average loan size of about $3,000. AB is an equal opportunity employer with a significant outreach to women customers. Access Holding JSC, Berlin (AH) owns 52%, while IFC and EBRD each own 18% and KfW 12% of AB shares. AH itself is owned by LFS Financial Systems, its strategic investor and knowledge provider and its staff through Micro Assets, Berlin (17.4%), CDC (UK), EIB, KfW(D), and Omidyar Tufts, each (14.1%) and FMO (NL) (10%). AB s reputable owners stand for improving access to finance for MSMBs while respecting highest integrity and governance. |
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| Objectives and Scope | The ABT is a sustainable bank with significant outreach to MSMEs. The investment entails equity participations and loans to ABT including a B-loan | ||||||||
| Linkage to Country/Regional Strategy | Support of the private sector is one of the pillars of the ADB Country Strategy with Tajikistan |
| Safeguard Categories | |
|---|---|
| Environment | FI |
| Involuntary Resettlement | FI-C |
| Indigenous Peoples | FI-C |
| Summary of Environmental and Social Aspects | |
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| Environmental Aspects | ESMS arrangement. Environmental category A subloan applications are excluded from financing. |
| Involuntary Resettlement | ESMS arrangement. IR category A and B subloan applications are excluded from financing. |
| Indigenous Peoples | ESMS arrangement. IP category A and B subloan applications are excluded from financing. |
| Stakeholder Communication, Participation, and Consultation | Due diligence carried out in 5-12 Sep- 2014 |
| Timetable for assistance design, processing and implementation | |
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| Concept Clearance | - |
| Credit Committee Meeting | - |
| Approval | 02 Dec 2014 |
| Last PDS Update | 08 Jun 2015 |
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
| Title | Document Type | Document Date |
|---|---|---|
| TAJ: Продвижение финансового охвата через новые банки : Информационный бюллетень о проекте | Translated PDS | Jun 2015 |
| Promoting Financial Inclusion through Greenfield Banking: Initial Poverty and Social Analysis | Initial Poverty and Social Analysis | Apr 2015 |
| Promoting Financial Inclusion through Greenfield Banking: Report and Recommendation of the President | Reports and Recommendations of the President | Nov 2014 |
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
None currently available.
Evaluation Documents See also: Independent Evaluation
None currently available.
Related Publications
None currently available.
The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
Requests for information may also be directed to the InfoUnit.
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