Published: July 9, 2010
Belarusky Narodny deal generates SME funding.
The World Bank, through its IFC subsidiary, has proved its commitment to developing Belarus’ banking sector by investing in Belarusky Narodny Bank.
The IFC now owns almost of a fifth of the bank after closing a deal that included providing a US$5mn loan. Belarusky Narodny will lend the proceeds to SMEs in Belarus. This funding complements a recent investment in the bank by Bank of Georgia.
Craig Bell, the IFC’s Belarus representative, says Belarusky Narodny is the first bank in Belarus to receive equity, debt and trade finance from the organisation to develop the country’s banking sector.
Belarusky Narodny’s supervisory board chairman, Nikoloz Shurgaia, welcomes the IFC as a shareholder due to its reputation and experience in developing financial institutions globally. He adds that the organisation will provide Belarusky Narodny with “additional impetus to develop into a leading bank in terms of transparency, reliability and client orientation”.