Baku: Commercial Bank Unibank Azerbaijan and Swiss impact investment manager BlueOrchard Finance Ltd. have signed subordinated and senior facility agreements in the total amount of USD 23 million.
According to Azerbaijan State News Agency, USD 13 million of the total investment will be classified as Tier 2 capital in line with the regulations of the Central Bank of the Republic of Azerbaijan and international regulatory standards. This loan facility is expected to bolster the bank’s regulatory capital position and support strategic priorities, particularly by expanding financing to the micro and SME segments, which have a high demand for sustainable financial resources.
Heybat Gadirov, Acting Chairman of the Management Board of CB Unibank Azerbaijan, commented on the development, stating that attracting subordinated financing from BlueOrchard is a noteworthy achievement that demonstrates the international investment community’s confidence in Azerbaijan and the bank. He emphasized that strengthening the capital base will facilitate increased lending in the micro and SME sectors, thus supporting self-employed individuals and small and medium enterprises crucial to the country’s economic development.
Ketevan Khuskivadze, Regional Director Eurasia, BlueOrchard Finance Ltd., expressed pride in initiating cooperation with Unibank CB Azerbaijan, a dynamic financial institution committed to supporting the real economy. She highlighted that the financing aligns with BlueOrchard’s mission to enhance access to capital for micro, small, and medium-sized enterprises in emerging markets.
Unibank CB Azerbaijan, established in 1992, is a leading private bank in Azerbaijan, offering a range of financial products and solutions tailored to individuals and businesses. The bank focuses on micro, small, and medium enterprises, implementing a strategy of sustainable growth and adopting modern banking technologies to contribute to the country’s economic development.
BlueOrchard Finance Ltd. is a global impact investment manager and member of the Schroders Group, dedicated to creating positive impacts for communities and the environment while providing attractive returns to investors. Founded in 2001, the firm has pioneered impact investing, offering solutions across asset classes and connecting entrepreneurs in emerging markets with investors. BlueOrchard has supported over 300 million people in emerging and frontier markets with its investments.