📋 Tender Overview
Project Number
51047
Company Name
CJSC BANK ARVAND
Date SPI Disclosed
May 5, 2025
Country
Tajikistan
Region
Central Asia and Turkiye
Projected Board Date
Jun 9, 2025
Environmental Category
FI-3
Status
Pending Approval
Last Updated Date
Department
CF5CT - Regional Industry FIG MCT/FIG Central Asia & Turkey
Industry
Financial Institutions
Sector
Commercial Banking - Microfinance
Additional Project Attributes
Blended Finance
Project Description
The proposed Project involves two senior loans up to equivalent of US$15 million in total, denominated in Tajik somoni (TJS), for the Closed Joint-Stock Company Bank Arvand (Arvand, or the Bank). The first loan of to up to US$5 million equivalent is expected to be provided in calendar year 2025, whereas the second loan of up to US$10 million equivalent would address the funding needs of Arvand in calendar year 2026. Up to 50% of the first loan proceeds would be allocated for energy-efficient (EE) housing microfinance (HMF) projects, up to 25% - for on-lending to micro and small enterprises (MSEs), and up to 25% - to women-owned MSEs (WMSEs). Utilization of proceeds of second loan is expected to be similar, but exact shares might be different. Both loans will have 3-year tenor with 1 year grace period.
Associated Advisory Engagement
In October 2023, IFC started providing advisory support to Arvand by developing HMF lending product and strengthening its capacity to offer non-financial services to HMF clients with the objective of growing its HMF portfolio throughout its branch network including Pamir Region (GBAO). The project will continue supporting the Bank in promotion of the HMF lending product until June 2026 (the end date of the Advisory Services Engagement).
