Moldova Agroindbank gets $15m IFC loan for financing SMEs

Microfinance Focus, Aug 14, 2010: International Finance Corporation (IFC) has lent a $15 million loan to Moldova Agroindbank, in support of the bank’s efforts to help more of the country’s small and medium businesses access the financing they need to grow.

The bank also has joined IFC Global Trade Finance Program, which will enable the provision of expanded trade finance for its clients, and connect it to a wider international network of financial institutions.   IFC, a member of the World Bank Group, is a global development institution focused on the private sector in developing countries.

“We are pleased to begin our partnership with IFC with these two projects,” said Natalia Vrabie, President of Management Board of MAIB. “With IFC’s loan, we can increase our support to small and medium enterprises, confirming our commitment to them. In addition, joining IFC’s Global Trade Finance Program will help us provide trade solutions to our clients and increase their access to new markets around the world,” she said.

The $3 billion IFC Global Trade Finance Program supports trade into and between emerging markets, helping developing countries increase their share of global trade flows. The program extends the capacity of banks to deliver trade finance services in challenging markets where interbank facilities may be limited and promotes the movement of goods and services between major emerging market economies.

Said Dimitris Tsitsiragos, IFC Director for Middle East, North Africa, and Southern Europe,  “Working with Moldova Agroindbank and our other valued partners, IFC supports sustainable private sector development by strengthening the financial sector, expanding support to businesses to mitigate the effects of the global financial crisis, and developing key sectors, including health and agribusiness.”

Moldova Agroindbank (MAIB) is a leading bank in Moldova and offers a wide range of banking services with a nationwide presence. As of December 31, 2009, the bank’s network included 75 branches and 24 representative offices, with national market share of 19.5 percent by total assets, 19.3 percent by total loans and 20 percent by total deposits.

MAIB provides services to large corporations, micro-, small-, and medium-sized businesses  and retail customers.

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