Microsoft Word Microfinance development in Uzbekistan Eng doc

EBRD credit line 
 
The particular need for EBRD loans is due to the following factors. First, as opposed to 
other banks
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, EBRD does provide funding for trade. Secondly, the salaries of loan officers 
depend directly upon the number of loans issued. Thirdly, clients may use the loan at their 
discretion, not necessarily in accordance with their business plan. Furthermore, there is 
another essential convenience – loan terms and procedures may be changed at the client’s 
request. Interest payments are made both monthly and in full prior to loan maturity. 
Figure 10. EBRD credit line in Uzbekistan: Loan 
Portfolio (USD) 
238 599
1 095 672
2 825 953
6 634 961
9 559 888
0
1 000 000
2 000 000
3 000 000
4 000 000
5 000 000
6 000 000
7 000 000
8 000 000
9 000 000
10 000 000
Dec-01 Dec-02 Dec-03 Dec-04 Dec-05
Figure 11. EBRD credit line in Uzbekistan: Number 
of loans issued 
91
737
1945
4375
5262
0
1000
2000
3000
4000
5000
6000
Dec-01
Dec-02
Dec-03
Dec-04
Dec-05
Source: www.j-usbp.com 
 
3. Analysis of the legal and regulatory framework for microfinancing  
Legal and regulatory framework for commercial banks’ microfinance services. 
Analysis has shown that the legal framework which regulates the matters related to bank 
financing
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of individuals and legal entities, and aimed at the encouragement of small 
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The following international financial institutions opened credit lines in Uzbekistan: ADB, EBRD, OPEC, 
IFC, U.S. Eximbank, Islamic Development Bank, AKA Bank (Germany), Bankgesellesfaft (Germany), 
Dresdner Bank (Germany), Khipo Vereyns (Germany, Italy), ABN-AMRO Bank, Bank Nationale de 
Lavore/Sache, Kommerzbank (Germany), Bank Gesellshaft Berlin (Germany), and Turkish Eximbank. These 
lines are provided by National Bank, Asaka Bank, and Promstroybank.
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(and consequently matters of microcredit and its related sub-categories) 

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businesses, has been fully created. Banks are entitled to engage in microcrediting without 
little hindrance but several general terms. 
Bank microcredit is a loan amount equivalent to USD 5,000 for individual entrepreneurs 
and farmers who have not formed a legal entity and up to USD 10,000 for farms and small 
businesses operating which have not formed a legal entity.