Project Description
Provision of a senior loan of up to US$ 1.0 million to Imon International under the Central Asian Women in Business (CA WiB) programme for on-lending to women-led micro, small and medium-sized enterprises.
Project Objectives
The project objective is to promote and support women entrepreneurship in Tajikistan and, more broadly, women's participation in business by assisting women-led micro, small and medium-sized enterprises (MSMEs) to access finance, know-how and advice, particularly in the country's regions. The financing gap is a major obstacle in enabling the transition of women-led MSMEs.
Transition Impact
ETI score: 70
The project contributes to the objectives of the CA WiB programme, supporting the inclusive and competitive Transition Impact qualities. The loan will support the transition objective of the programme, i.e. the promotion of female entrepreneurship and, more broadly, women's active participation in business, alleviating gender inclusion gaps in terms of "access to finance" and "employment and business". The proposed CA WiB loan represents the second WiB loan to the client following a successful realisation of a pilot TajWiB loan.
Client Information
IMON INTERNATIONAL MICROCREDIT DEPOSIT-TAKING ORGANISATION CJSC
IMON is the largest microfinance institution in the country covering around 18% of the micro lending and 9% of total lending in Tajikistan. The company serves over 100,000 customers via an extensive network of 28 branches and 102 outlets located across 3 (out of 4) regions.
The company was founded as a micro-lending project in 1999 by the National Association of Business Women of Tajikistan (NABWT) in partnership with the NGO MercyCorps, a global aid agency. In 2005 it was transformed into the Microcredit Fund "IMON" and then into a commercial micro-lending organization "IMON International" in 2008. The company obtained a deposit taking licence in 2012 and was subsequently reorganised as a microfinance deposit-taking organisation (MDO). Since then it offers almost a full variety of conventional banking products (loan, deposit, money transfer and FX transactions) to MSMEs, sole entrepreneurs and retail clients with primary focus on underserved, economically active segments of the Tajik population.
EBRD Finance Summary
USD 1,000,000.00
Total Project Cost
USD 1,000,000.00
Additionality
Knowledge, innovation, and capacity building: EBRD provides expertise, innovation, knowledge and/or capabilities that are material to the timely realisation of the project's objectives, including support to strengthen the capacity of the client.
Environmental and Social Summary
IMON will be required to continue to comply with Performance Requirements 2, 4 and 9, and to apply EBRD's E&S Risk Management Procedures for Corporate and SME loans. IMON should continue to provide annual E&S reporting to the Bank on compliance with the applicable PRs and any other E&S matters arising during the year.
Technical Cooperation and Grant Financing
A. Technical Cooperation (TC)
The Central Asian WiB TC Programme includes two linked TC components:
(i) tailored capacity-building for partner banks.
Funding source: We-Fi
Amount/currency: USD 5.0m at the CA WiB Programme level
Funding status: Confirmed
(ii) capacity-building for women-led MSMEs via the Advice for Small Businesses (ASB) team.
Funding source: We-Fi
Amount/currency: USD 4.5m at the CA WiB Programme level
Funding status: Confirmed
B. Co-investment grants / Concessional Finance (Non-TC)
The project involves a First Loss Risk Cover mechanism of up to 10% of a WiB loan (limited to 70% per a single sub-loan) which translates into up to USD 0.1m for the project; the first loss risk cover will compensate for credit losses of IMON as a result of its participation in the Programme.
Funding source: SBIF
Amount/currency: USD 0.1m
Funding status: Confirmed
Company Contact Information
Khurshed Tadzhibaev
khtojiboev@imon.tj
+992 3422 42353
www.imon.tj
17th Microdistrict, Building#2
Khudjand 735700
Republic of Tajikistan
PSD last updated
15 Jul 2021
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
Email: projectenquiries@ebrd.com
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Tel: +44 20 7338 6794
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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 compliance@ebrd.com. 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 ipam@ebrd.com to get guidance and more information on IPAM and how to submit a request.
