Active Development AidData Chinese Aid

CDB provides $40 million loan to Asaka Bank for on-lending purposes

$40M USD

Funder	China Development Bank (CDB)
Recipient Organization	Asaka Bank
Country	Uzbekistan
Start Date	Oct 30, 2017
End Date	Aug 02, 2026
Duration	3,198 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`96410`

Grant Description

CDB provides $40 million loan to Asaka Bank for on-lending purposes On October 30, 2017, China Development Bank and Joint-Stock Commercial Bank «Asaka» (Asaka Bank) — a majority state-owned commercial bank in Uzbekistan — signed a $40 million loan agreement.

📋 Loan / Grant Terms

💰 Loan Amountcarried the following borrowing terms: an 8-year maturity

📅 Maturity8 years

A sovereign guarantee was not issued in support of the loan.

The borrower was expected to use the proceeds of the loan to engage in on-lending activities and support the investment projects of small businesses and private entrepreneurs as well as the purchase of goods and services from China.

Uzbek borrowers that receive subsidiary loans from Asaka Bank — through the CDB on-lending arrangement — are expected to borrow at LIBOR plus a 6% margin (i.e. an extra 2% margin/markup for Asaka Bank). As of May 2018, Asaka Bank had issued multiple, subsidiary loans for 4 investment projects worth $2.82 million.

📋 Staff Comments

1. For loan and debt rescheduling records with variable interest rates, AidData calculates the all-in interest rate at T0 based on the reference rate (such as LIBOR or EURIBOR) on the loan start date, plus any known margin. Please see the methodology for additional details.

📚 Sources & References

Second largest bank of Uzbekistan actively draws foreign loans
A PRESS CONFERENCE WAS HELD ON THE ATTRACTING OF FOREIGN CREDIT LINES, ИНФОРМАЦИЯ О КРЕДИТНОЙ ЛИНИИ БАНКА ICBC (КИТАЙ)
BANK SHAREHOLDERS
ASAKA BANK OFFERS LOANS THROUGH CREDIT LINES OF FOREIGN BANKS
KEY PRELIMINARY CREDIT LINE CRITERIA STATE DEVELOPMENT BANK OF CHINA
A PRESS CONFERENCE WAS HELD 'ON THE WORK CARRIED OUT BY ASAKA BANK TO ATTRACT FOREIGN CREDIT LINES' Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.

All Grantees

Asaka Bank

Interested in applying for this grant?

Complete our application form to express your interest and we'll guide you through the process.

Apply for This Grant