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| Description of company and purpose of project |
| It is proposed that IFC provide a credit line of up to $1.5 million to Finance and Trade Bank (Banca de Finante si Commert or Fincombank) for the purpose of on-lending to finance eligible sub-projects by way of sub-loans to eligible sub-borrowers. Fincombank, previously state-owned, was privatized in 1993 and became one of Moldova's first private commercial banks. Today, Fincombank provides a range of banking services to Moldovan businesses, primarily small and medium-sized businesses, through its 20 branch offices (six in Chisinau). Fincombank has 166 employees and over 9,600 clients. |
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| Project sponsor and major shareholders of project company |
Fincombank has over 100 shareholders. The main shareholders are:
- Moldcomasigurare, a Private Insurance Company [8.2%];
- Mr. Oleg Voronin, a Private Person – Chairman of the Board of Fincombank [7.8%];
- Mr. Victor Khvorostovsky, Private Person – President of Fincombank [7.6%]; and
- Biotex-Com, a private limited company dealing with wholesale of construction materials and pharmaceuticals [5.3%]. |
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| Total project cost and proposed IFC investment |
| Total project cost is $1.5 million, funded through an IFC credit line of $1.5 million. |
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| Location of project and description of site |
| Fincombank’s headquarters are located in Chisinau, Moldova. |
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| Project Development Impact and IFC's Role |
| The developmental impact of IFC’s loan to FCB is expected to be far reaching in terms of its economic support for productive small businesses and its stimulus for growth and employment generation. The organization's strong performance, as demonstrated by its portfolio growth and profitability, its methodology and its control mechanisms will serve as "best practice" examples for other institutions throughout Moldova. IFC’s investment will support the further growth and strengthening of the seventh largest bank in Moldova and one of the only banks that focuses primarily on small businesses. |
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| Environmental and social issues - Category FI-1 |
This is an FI Type 1 project. FCB must require that investments under relevant operations meet Moldovan environmental, health and safety requirements and be consistent with IFC’s microfinance exclusion list.
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| To contact the project company, please write to: |
Victor Khvorostovsky, Chairman of the Board
26 Pushkin Street;
Chisinau;
Moldova
(fax: 37 32 237 596) |
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