EDB gives first $70 million credit line to Bank CenterCredit for the development of small- and medium-sized businesses.

The EDB and AO «Bank CenterCredit» (BCC) have signed a credit agreement for a loan of $70 million for five years. BCC will use the funds:

• to support the development of the private sector in both Russia and Kazakhstan, particularly to finance small- and medium-sized businesses that are geared towards the modernization and diversification of the goods and services sector;
• for the expansion of joint trade and investment in economic programs of the EDB’s member states; and
• for the output of competitive products in the non-raw materials sector.

At a press conference announcing the signing, the Chairman of BCC, Vladislav Lee, commented that the loan will help to finance businesses that will continue to expand the development of the real sector of the economy. BCC has experience in dealing with both international and Kazakh development institutions and this loan is a sign of trust to the bank.

Evgeny Prilepsky, Deputy Chairman of the EDB, also added that this is a first step for the EDB into the financing of economic development in its member states through commercial banks and stated that EDB is expected to become a significant resource in the development and support of small- and medium-sized enterprises.