04/02/2019 | Press release | Distributed by Public on 04/02/2019 01:14
BISHKEK, KYRGYZ REPUBLIC (2 April 2019)- The Asian Development Bank (ADB) has deepened its support for trade finance in the Kyrgyz Republic by conducting an intensive training workshop for staff of DemirBank as well as representatives of small and medium-sized enterprises (SMEs). The 2-day workshop delivered information on pre-export and post-import finance, supply chain finance, transaction structures, and client sales analysis.
'We are delighted with this partnership with DemirBank to facilitate their capacity-building initiatives on trade finance in the Kyrgyz Republic,' said Investment Specialist at ADB's Private Sector Operations Department Ms. Nana Khurodze. 'This tailored training approach targets our partner bank's staff and clients to expand trade and supply chain finance, which are important vehicles for companies to grow in the Kyrgyz Republic.'
DemirBank offers trade finance products and, since 2010, has been a member of various trade facilitation programs developed by the major international financial institutions, including ADB's Trade Finance Program (TFP).
'As a result of the workshop, many of our customers have become interested in trade finance products and have since consulted with us on actual trade finance deals,' said DemirBank Deputy General Manager and Chief Operation Officer Ms. Anastasiya Trofimushkina. 'This workshop helps develop trade and supply chain finance products in the Kyrgyz Republic. We would like to thank TFP for their support.'
Backed by ADB's AAA credit rating, TFP provides guarantees and loans to over 200 partner banks to support trade, enabling more companies throughout Asia to engage in import and export activities. Since 2009, ADB's TFP has supported more than 15,000 SMEs across developing Asia-through over 21,000 transactions valued at over $36 billion-in sectors ranging from commodities and capital goods, to medical supplies and consumer goods.
In 2018, TFP grew almost 40% to support $6.2 billion in trade through 4,470 transactions. TFP complements its financial support with knowledge products, including a study that quantifies market gaps for trade finance, initiatives to increase the role of women in banking, efforts to enhance environmental safeguards, and initiatives to fight crime through greater transparency in the global financial system. TFP also provides workshops and seminars to increase knowledge and expertise in matters related to finance, trade, risk management, and fraud prevention.
To date, TFP has supported $580,000 in trade through two transactions in the Kyrgyz Republic with DemirBank, all of which involved SMEs. TFP aims to develop additional bank partnerships in the Kyrgyz Republic.
DemirBank accords high priority to its clients'. Instruments such as letters of credit and guarantees to support trade in the Kyrgyz Republic have become integral to DemirBank's product offering. DemirBank received a Leading Partner Bank Award from ADB's TFP from 2009-2016.
ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. In 2018, it made commitments of new loans and grants amounting to $21.6 billion. Established in 1966, it is owned by 68 members-49 from the region.