UZBEKISTAN: ADB, Hamkorbank Sign Deal to Enhance Financial Access for Rural MSMEs in Uzbekistan

TASHKENT, UZBEKISTAN (20 December 2024) — The Asian Development Bank (ADB) and Hamkorbank has signed a 625 billion Uzbek sum (equivalent to about $50 million) loan to enhance access to financing to rural micro, small, and medium-sized enterprises (MSMEs) in Uzbekistan.

A majority of the loan will be allocated to support financial inclusion for

MSMEs outside the capital of Tashkent. At least 20% of the loan will be directed towards women-owned or led MSMEs, and at least 10% will be earmarked for green technology investments. The country’s nearly half a million MSMEs are a key pillar of the economy, contributing over 50% of GDP and employing most of the working population. Even so they struggle to access bank loans, especially those run by women who often lack basic finance and management skills.

“ADB is committed to Uzbekistan’s inclusive economic development. This partnership with Hamkorbank will provide much-needed support for rural MSMEs, empowering entrepreneurs, creating jobs, and contributing to the country’s overall economic resilience,” said ADB Director General for Private Sector Operations Suzanne Gaboury. “By focusing on MSMEs and green technology investments, ADB’s support for Hamkorbank will stimulate local economies, fostering long-term, inclusive growth that benefits a wide cross-section of society including women-led businesses.”

“This partnership underscores Hamkorbank’s commitment to supporting the Uzbekistan’s economic reforms and development strategies. ADBs financial support, especially given the market scarcity of medium-term local currency financing, will help meet the evolving needs of MSMEs, contributing to a more dynamic and resilient Uzbekistan,” said a Hamkorbank’s CEO Bakhtiyorjon Juraev.

Established in 1991, Hamkorbank is Uzbekistan’s third-largest private bank, with a strong rural footprint, servicing its clients through a network of 50 branches, 150 service outlets, and multi-sales channels.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 69 members—49 from the region.