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IFC promotes micro leasing in Azerbaijan

20 February 2009 13:19 (UTC +04:00)

Baku. Nijat Mustafayev â€“ APA-Economics. IFC, a member of the World Bank Group, is promoting micro leasing tools to help leasing companies and microfinance institutions introduce micro leasing services.
This work is initiated to support development of small businesses and help address economic crisis in developing countries by providing additional opportunities to develop microfinance services, thus expanding opportunities for small enterprises to build up their initial capital or expand their business at a relatively lower economic cost.
To promote this initiative, IFC launched a series of two-day trainings on â€œBasics and specifics of micro leasing operationsâ€ for local microfinance organizations in Azerbaijan and Central Asia. This regional initiative aimed at helping local credit specialists acquire practical skills in micro leasing operations and training them on relevant legal and tax issues. [IFC delivered this training in Azerbaijan on February 19-20 in corporation with Azerbaijan Microfinance Association.]
â€œIntroducing a new innovative product, such as micro leasing, is very important nowadays as it diversifies the existing portfolio of financial institutions and, moreover, provides a substantial support to small businesses which need to keep afloat during economic crisis periodâ€, outlined Jhale Hajiyeva, Chairperson of Azerbaijan Microfinance Association, â€œwe are grateful to IFC experts and trainers for sharing their practical experience; it made this training a real success.â€

â€œMicro leasing is a significant part of the leasing industry in the developed countries.â€ said Anastassiya Marina, IFCâ€™s Project Manager of Azerbaijan and Central Asia Leasing Facility advisory services project. â€œWe hope that our work would help financial organizations introduce micro leasing operations in respective countries which would significantly contribute to development of the micro and small businesses.â€
As a result of IFC efforts, more than 90 specialists have been trained in Azerbaijan, Kyrgyz Republic, Tajikistan, and Uzbekistan. This initiative, a part of the IFC Azerbaijan-Central Asia Leasing Facility Advisory Services Project, is funded by the Swiss State Secretariat for Economic Affairs.
IFC, a member of the World Bank Group, creates opportunity for people to escape poverty and improve their lives. We foster sustainable economic growth in developing countries by supporting private sector development, mobilizing private capital, and providing advisory and risk mitigation services to businesses and governments. Our new investments totaled $16.2 billion in fiscal 2008, a 34 percent increase over the previous year.