ETC Non-Bank MFI FW IV - Imon International



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

20 Oct 2020



PSD disclosed:

23 Oct 2020

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

Project Description

An additional equity investment of up to US$ 1.5 million into the capital of IMON International.  It will be carried out alongside with Alternative Fund, the existing 10 per cent shareholder, in order to acquire the entire stake of the largest local shareholder of IMON International Micro-credit Fund "IMON". FMO will acquire half of the purchased stake from the Bank. As a result, the EBRD and FMO will become 17.9 per cent stake holders each while Alternative Fund will have a 42.7 per cent stake.  

Project Objectives

The primary objective for the additional investment is to support IMON, so it complies with new regulations and encourage the private investor, Alternative Fund, to acquire the majority stake. The aligned commercial shareholders will continue with the value creation plan to build a resilient and sustainable business model to meet challenges of rapidly changing operating environment.

Transition Impact

ETI score: 60

The investment will contribute to the objectives of the Financial Intermediary Framework (FIF), supporting the Competitive and Resilient transition qualities by (i) fostering MSE competitiveness through increasing availability of financing and (ii) contributing to the competitiveness of IMON through innovation in strategy, processes and marketing related to MSE lending.

Client Information


Micro-credit Deposit-taking Organisation "IMON International" ("IMON", "Company") is the largest microfinance institution (MFI) in Tajikistan with 24 per cent market share in the sector as of June 2020. IMON provides a wide range of financial products and services to micro and small businesses, sole entrepreneurs and retail clients across its extensive network of 27 branches and 103 outlets.

EBRD Finance Summary

USD 5,186,440.50

Transaction envisages an additional investment of up to US$ 1.5 million in the local currency for the acquisition of a 10.8 per cent stake. 

Total Project Cost

USD 5,186,441.00


Additionality arises from providing access to capital not readily available in Tajikistan and by capital mobilisation - Alternative Fund is encouraged to participate and take a larger share in the Company alongside the EBRD and FMO.

Environmental and Social Summary

Categorised FI (2019 ESP). IMON is an existing client of the Bank and its environmental and social (E&S) performance has been satisfactory to date as evidenced by annual reporting on E&S matters. In the context of this new equity transaction, IMON  will be required to continue to comply with Performance Requirements 2, 4 and 9, and to apply the EBRD's E&S Risk Management Procedures for Corporate, SME and Micro Lending, for the existing and proposed portfolio. 

Technical Cooperation and Grant Financing


Company Contact Information

General Enquiries
+992 (3422) 4 23 53
17th micro-district #2, Khudjand Republic of Tajikistan

Implementation summary


PSD last updated

23 Oct 2020

Understanding Transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”.  The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and Compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all activities of the Bank in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.

OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD Enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate; how to submit a Request for review; or contact IPAM  via email to get guidance and more information on IPAM and how to submit a request.


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