OPEC Fund extends US$30 million to Ipak Yuli Bank to boost local businesses in Uzbekistan

November 26, 2024: The OPEC Fund for International Development (the OPEC Fund) has signed a US$30 million loan agreement with Joint Stock Innovation Commercial Bank “Ipak Yuli” (Ipak Yuli Bank) to expand access to financing for micro, small and medium-sized enterprises (MSMEs) in Uzbekistan, including women-owned businesses.

This is the OPEC Fund’s first direct loan to a privately-owned bank in Uzbekistan and a significant step in its growing partnership with the country. It complements a five-year, US$500 million partnership framework signed earlier in 2024 to support Uzbekistan’s development priorities, including private sector expansion and economic modernization.

OPEC Fund President Abdulhamid Alkhalifa said: 

“Our partnership with Ipak Yuli Bank reflects our targeted approach to supporting Uzbekistan’s private sector transformation. By facilitating access to finance for businesses, including those led by women, we are helping unlock their potential to contribute to the country’s sustainable economic growth. This partnership is not just about financing—it is about supporting a more dynamic and inclusive private sector that fosters economic opportunities and enhances the well-being of communities across Uzbekistan.”

Saydakhmedov Saidabror, the Chairman of the Management Board of Ipak Yuli Bank said: "We are pleased to be the first private bank in Uzbekistan to sign an agreement with the OPEC Fund. This is an important step in supporting the development of the MSME sector in our country. We share common values with the OPEC Fund in fostering entrepreneurship and are confident that this partnership will lay the foundation for expanding our cooperation in the future, contributing to the further development of the economy and creating new opportunities for businesses." 

MSMEs are the backbone of Uzbekistan’s economy, accounting for 54 percent of GDP and employing 78 percent of the workforce. However, these businesses often face challenges in accessing affordable credit, holding back the country’s overall growth. The OPEC Fund loan will enable Ipak Yuli Bank to scale up its support for small businesses, benefiting the entire economy.

About the OPEC Fund

The OPEC Fund for International Development (the OPEC Fund) is the only globally mandated development institution that provides financing from member countries to non-member countries exclusively. The organization works in cooperation with developing country partners and the international development community to stimulate economic growth and social progress in low- and middle-income countries around the world. The OPEC Fund was established in 1976 with a distinct purpose: to drive development, strengthen communities and empower people. Our work is people-centered, focusing on financing projects that meet essential needs, such as food, energy, infrastructure, employment (particularly relating to MSMEs), clean water and sanitation, healthcare and education. To date, the OPEC Fund has committed about US$27 billion to development projects in over 125 countries with an estimated total project cost of more than US$200 billion. The OPEC Fund is rated AA+/Outlook Stable by Fitch and AA+, Outlook Stable by S&P. Our vision is a world where sustainable development is a reality for all.