The International Finance Corporation (IFC) has provided a $5 million local currency loan to Tajikistan’s Arvand Bank to expand access to credit for micro and small enterprises, particularly women entrepreneurs and rural communities. The investment also aims to support energy efficiency and housing finance, Asiaplus.tj reports.
A long-term partner of IFC since 2019, Arvand Bank will use the funding to scale up lending to underserved entrepreneurs who face difficulties accessing capital. Part of the funds will be directed toward microfinance for low-income rural families to help them build or renovate their homes.
Serving over 58,000 clients nationwide, Arvand Bank focuses on reaching underserved populations, especially in rural areas. According to CEO Shoira Sodikova, the funding will allow more women-led businesses to access financing, grow their operations, and create jobs.
Small and medium enterprises (SMEs) contribute around 60% of Tajikistan’s GDP but face a financing gap estimated at $3 billion—roughly 20% of GDP. Access to affordable housing finance remains especially limited for low-income households.
Wiebke Schloemer, IFC’s Director for Turkey and Central Asia, said the partnership aims to strengthen Tajikistan’s financial and housing sectors while promoting energy-efficient solutions.
The investment is part of the IFC MSME Finance Base of the Pyramid (BOP) platform and is supported by the IDA Private Sector Window (PSW) through blended finance mechanisms, including the Local Currency Facility.
CentralasianLIGHT.org
September 9, 2025