Tashkent, Uzbekistan (UzDaily.uz) — The European Bank for Reconstruction and Development (EBRD) will provide Uzbekistan’s Davr Bank with a loan of up to US$25 million to expand financing for micro, small and medium-sized enterprises owned or managed by young entrepreneurs, the bank’s press service said on 29 October.
The financing will be provided under the EBRD’s Youth in Business programme in Central Asia, which targets businesses owned or managed by entrepreneurs under the age of 35.
The loan will be offered either as synthetic financing linked to the Uzbek soum or in US dollars. At least 30% of the funds will be allocated to micro, small and medium-sized enterprises led by women. Davr Bank also plans to expand lending to businesses in rural areas of Uzbekistan.
Young Davr Bank clients who meet the programme’s eligibility criteria will be able to access training, advisory support and other non-financial services through the EBRD’s Advice for Small Businesses initiative.
The project aims to improve young entrepreneurs’ access to financing outside the capital. It will also help Davr Bank continue improving its banking products and internal systems to better serve this customer group.
According to government data, more than 26% of Uzbekistan’s population is aged 30 or younger. The EBRD considers creating new employment opportunities for this generation, which has technical and digital skills, one of its priorities.
The EBRD operates in Uzbekistan to support private enterprise and economic development. According to the bank, its total investment in the country has reached nearly US$7.3 billion across 219 projects.
