EDB to provide a new RUB 96 million loan to NBD Bank to finance small and medium-sized businesses in Russia
Almaty, 9 September 2013. Eurasian Development Bank (EDB) signed today a loan agreement with NBD Bank. According to it, EDB will provide to NBD Bank the second loan of RUB 96 million to finance small and medium-sized businesses (SMB). The document was signed by Dmitry Krasilnikov, Managing Director for Corporate Finance at EDB, and Alexander Sharonov, Chairman of the Board at NBD Bank.
In the framework of this project regional SMBs, which are clients of NBD Bank, will get an opportunity to raise rouble loans for up to three years. NBD Bank will select sub-borrowers on its own in accordance with the criteria agreed with EDB and provide them with targeted sub-loans for business development. The loan will be used to finance enterprises in Nizhegorodskaya, Kirov, Ivanov and Penza Regions, the Chuvash Republic and the Republic of Mari El.
Finance will be provided in accordance with EDB’s Programme for the Support and Development of SMB by Providing Targeted Loan Facilities to Financial Institutions. The first agreement providing a RUB 160 million loan to NBD Bank under the SMB programme was signed by EDB in June 2012.
“We are happy that our cooperation with EDB is growing. Thanks to these agreements regional small and medium sized businesses receive additional financial resources for their development,” says Yevgeny Maksakov, Head of Corporate Finance and Clients at NBD Bank.
“The project will contribute to the creation and advancement of favourable conditions for the sustainable development of small and medium-sized businesses in Russia, the development of a competitive environment and the improvement of SMB competitiveness in foreign and domestic markets, as well as the advancement of infrastructure and institutional framework of Russia’s market economy,” says Dmitry Krasilnikov.
Additional Information
NBD Bank is an interregional bank specialising in SMB lending. The bank was established in 1992 and is headquartered in Nizhny Novgorod. Its network includes 24 offices in six Russian regions. NBD Bank cooperates with international financial institutions, including the European Bank for Reconstruction and Development (EBRD), the International Financial Corporation (IFC) and Commerzbank, among others.
Eurasian Development Bank is an international financial institution founded by Russia and Kazakhstan in January 2006 with the mission to facilitate the development of market economies, sustainable economic growth and the expansion of mutual trade and other economic ties in its member states. EDB’s charter capital exceeds US $1.5 billion. The member states of the Bank are the Republic of Armenia, the Republic of Belarus, the Republic of Kazakhstan, the Kyrgyz Republic, the Russian Federation, and the Republic of Tajikistan. Read more at https://www.eabr.org.