EBRD and Ipoteka Bank Fund Vades Group With US$10M

Tashkent, Uzbekistan (UzDaily.uz) — Central Asia's sole manufacturer of microprocessor cards, Vades Group, will receive financing under a risk-sharing facility provided by the European Bank for Reconstruction and Development (EBRD) and Ipoteka Bank OTP Group. The total agreement is valued at US$10 million, of which US$5 million has already been confirmed for disbursement.

Andi Aranitasi, EBRD Director and Head of Uzbekistan, announced the agreement, marking the first sub-loan transaction under the funded risk-sharing facility between the EBRD and Ipoteka Bank. Under the Risk Sharing Facility framework, the EBRD assumes 50 percent of the credit risk on the transaction, enabling Ipoteka Bank to expand financing options for domestic companies and investment projects.

Vades Group will deploy the allocated capital toward operational expansion and the development of a new manufacturing plant in the Akhangaran district of the Tashkent region. The new facility will allow the company to boost production capacity for banking cards and identity documents while fostering domestic manufacturing capabilities.

The company also plans to invest in new production lines to diversify its product range, extending manufacturing beyond bank cards and identity documents to include SIM cards. Beyond financial support, Vades Group is working with EBRD advisory support to strengthen corporate governance and compliance standards.

Vades Group has already implemented the ISO 37001 standard and is preparing for GSMA SAS-UP accreditation. Obtaining this certification is expected to enable the company to compete in international markets. The transaction represents Vades Group's initial cooperation with the EBRD as a new client of the development bank.