Bai-Tushum Bank and DCA (USAID) expand access to loans
Bai-Tushum Bank and DCA program, implemented by the U.S. Agency for International Development (USAID) have signed agreement to expand access to finance for small and medium enterprises, operating in agriculture, textile and tourism, mainly in Osh, Djalal-Abad and Batken oblasts.
One of the problems faced by small and medium enterprises in the Kyrgyz Republic is hindered access to financial resources due to insufficient collateral. The launch of this program will make it possible to provide assistance to entrepreneurs in obtaining necessary loan amount by issuing guarantees in addition to main collateral. An important aspect is the purpose of the guarantees. This instrument is designed for funding textile, garment manufacturing, agricultural and tourism projects.
Bai-Tushum Bank has already had successful cooperation experience with DCA in 2003. That is why decision was made to continue the partnership in this area, where entrepreneur would be able to access finance through guarantee instruments. Such partnership is intended to expand the opportunities for small and medium enterprises in obtaining long-term credit resources for their development and, at the same time, encourage us to establish attractive lending conditions”, – points out Gulnara Shamshieva, the General Manager of Bai-Tushum Bank CJSC.
Bai-Tushum Bank was created in 2000 by the U.S. International Development Organization ACDI/ VOCA. On November 13, 2012, Bai-Tushum became the first microfinance organization in Central Asia to receive a full banking license from the National Bank of the Kyrgyz Republic. In 13 years the organization has become one of the largest microfinance institutions in the Kyrgyz Republic with the total assets amounting to KGS 7,2 billion. Today, the Bai-Tushum Bank is among the seven largest banks in the Kyrgyz Republic, serving more than 32,000 clients.