📋 Tender Overview
Website customer/investment
https://davrbank.uz/en/
Region
Europe & Central Asia
Country
Uzbekistan
Sector
Financial Institutions
Publication date
11/27/2023
Effective date
3/12/2024
Total FMO financing
USD 20.00 MLN
Funding
FMO NV
Environmental & Social Category
(A, B+, B or C)
C
Who is our customer
PJSCB DAVR Bank, a new client to FMO, is a universal private bank in Uzbekistan. Established in 2001, DAVR holds a 0.9% of the market share in terms of loan portfolio, positioning the bank in No.17 place in a sector dominated by state owned banks. Among private banks only, DAVR stands No.7. The bank operates a network of 7 branches and 65ATMs, and with a workforce of over 800 employees, serves more than 146,000 active customers. DAVR Bank's loan portfolio is primarily focused on the MSME (38% of GLP) and retail (62%) segments.
What is our funding objective
To support the bank's growth plans in expanding its MSME portfolio, FMO will provide a USD 40m senior unsecured facility (of which USD 20m uncommitted). The facility will be fully earmarked for Reduced Inequalities and Green projects. The facility offers the flexibility of dual currency (in UZS and USD) with DAVR Bank having the option to select the currency prior to disbursement.
Why do we fund this investment
DAVR Bank will use the proceeds of the FMO loan to finance eligible Green loans to Youth, Female, Agri SMEs, and Micro sub-borrowers.
What is the Environmental and Social categorization rationale
The project has been categorised as Category C in accordance with FMO’s Sustainability Policy. The Project’s activities are deemed to have minimal or no adverse environmental and social risks and/or impacts. As part of the Project, DAVR Bank will be required to apply the EDFI Exclusion List and Uzbekistan E&S laws and regulations.
