Kyrgyz Republic : Rural Financial Inclusion for Women Project

Nonsovereign Project | 53319-001

CJSC FINCA Bank decided not to proceed with the project due to impact of COVID-19 on the Kyrgyzstan economy and their ample liquidity.

Project Details

  • Project Officer
    Rohner, Tina
    Private Sector Operations Department
    Request for information
  • Approval Date
    24 March 2020
  • Country/Economy
    Kyrgyz Republic
  • Sector
    • Finance
Project Name
Rural Financial Inclusion for Women Project
Project Number
53319-001
Borrower / Company
  • CJSC FINCA Bank
  • KYRGYZ INVESTMENT AND CREDIT BANK
Country / Economy
  • Kyrgyz Republic
Location
Nation-wide
Type or Modality of Assistance
Approval Number Facility Fund Source Amount Status
3898 Loan Ordinary capital resources USD 0.00 Cancelled
Operational Priorities
  • OP1: Addressing remaining poverty and reducing inequalities
  • OP2: Accelerating progress in gender equality
  • OP5: Promoting rural development and food security
Sector / Subsector

  • Finance / Inclusive finance

Gender
Gender equity theme
Project Sponsor(s)
    Description
    CJSC FINCA Bank decided not to proceed with the project due to impact of COVID-19 on the Kyrgyzstan economy and their ample liquidity.
    Objectives and Scope
    The transaction entails the Asian Development Bank (ADB) providing medium-term financing in som to CJSC Finca Bank (FBK) to support micro and small enterprise lending targeting women in rural areas. The Technical Assistance (TA) to FBK will focus on building its branchless agent network in rural areas targeting hitherto unserved lower-income clients, with a specific focus on improving financial literacy and access to finance for women. The TA to NBKR will support banking introduction of Basel III prudential norms in the Kyrgyz Republic.
    Linkage to Country/Regional Strategy
    The transaction is consistent with government efforts to promote the well-being of its citizens and ADB's country partnership strategy, 20182022 for the Kyrgyz Republic. This project contributes to ADB's efforts to achieve Sustainable Development Goal 5: achieving gender equality and empowering all women and girls.

    Safeguard Categories

    Environment
    FI-C
    Involuntary Resettlement
    FI-C
    Indigenous Peoples
    FI-C

    Summary of Environmental and Social Aspects

    Environmental Aspects
    FBK has in place an ESMS commensurate with the impacts and risks of its borrowers' activities in accordance with ADB''s Safeguard Policy Statement (2009) SPS requirements for financial intermediaries. FBK will revise its exclusion list in line with ADB''s PIAL and apply to all potential borrowers' applications. It will establish procedures to categorize borrower's activities according to ADB's SPS requirements in addition to its current social and environmental risk analysis, which already includes review against national environmental impact assessment requirements.
    Involuntary Resettlement
    FBK sub-borrowers will be individuals borrowing funds for their business needs. Such loan finance cannot fund compulsory acquisition of land by government expropriation. Involuntary resettlement impacts through use of facility funds are therefore not anticipated.
    Indigenous Peoples
    FBK sub-borrowers will be individuals borrowing funds for their business needs. This activity is not expected to directly or indirectly affect the dignity, human rights, livelihood systems, or culture of any ethnic minority or Indigenous Peoples groups.
    Stakeholder Communication, Participation, and Consultation
    Potential borrowers will participate through extensive market research activity already undertaken by FBK in determining the most appropriate lending products. FBK has extensive national networks of branches and is building up an agent service network through which to engage and empower beneficiaries. Participation plans will not be prepared as FBK maintains strong public profiles through its branch presence and marketing that allow each of them to actively participate with civil society.

    Contact

    Responsible ADB Officer
    Rohner, Tina
    Responsible ADB Division
    Private Sector Financial Institutions Division
    Responsible ADB Department
    Private Sector Operations Department

    Timetable for assistance design, processing, and implementation

    Concept Clearance
    29 Oct 2019
    Credit Committee Meeting
    20 Dec 2019
    Approval
    24 Mar 2020
    Last PDS Update
    02 Feb 2021

    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
    Rural Financial Inclusion for Women Project: FAST Report Faster Approach to Small Nonsovereign Transactions Mar 2020
    Rural Financial Inclusion for Women Project: Initial Poverty and Social Analysis Initial Poverty and Social Analysis Nov 2019

    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.