OREANDA-NEWS. November 29, 2011. The International Finance Corporation, a member of the World Bank Group, is likely to help Azerbaijan’s Turan Bank strengthen its risk-management practices and develop new financial products for small and medium enterprises, supporting economic diversification and stimulating growth.

The IFC reports that in compliance with the new agreement it will advise Turan Bank on refining its credit policy and risk management operations, developing a focused strategy for small and medium enterprises, and rolling out new financial products and services for the SME client segment.

“Serving small and medium enterprises is an important part of Turan Bank’s overall strategy, and we appreciate this opportunity to work with IFC to improve our risk management. We hope this work will result in better lending and risk-management practices, and ultimately, better services to our clients,” said Fezail Musayev, Deputy Chairman of Turan Bank’s Management Board.

Turan Bank has been an IFC client since 2009. IFC has helped the bank to improve its corporate governance practices, and in June 2011 extended a USD 7 million loan to Turan Bank to expand its lending to micro and small entrepreneurs in Azerbaijan.

"The small and medium enterprises sector is emerging as an important area for banks to support new growth opportunities. IFC will help Turan Bank integrate small and medium enterprise clients into its business strategy, and to build a solid value proposition for such companies, based on IFC’s globally-tested model,” said Rolf Behrndt, IFC Regional Business Line Leader for Access to Finance.

Azerbaijan joined the IFC in 1995. As of 30 September 2011, the IFC had a committed portfolio in Azerbaijan of USD 139 million.