IFC and Hamkorbank Partner to Empower Women and Small Businesses in Uzbekistan

In a significant move aimed at bolstering inclusive economic growth in Uzbekistan, the International Finance Corporation (IFC) has partnered with Hamkorbank, the country’s third-largest private lender, to expand access to finance for small businesses and women entrepreneurs. The agreement entails a loan of up to $50 million, with 35 percent of the funding earmarked for women-led enterprises—underscoring the initiative’s strong gender focus.

This strategic investment is part of IFC’s broader mission to enhance Uzbekistan’s financial sector infrastructure and promote equitable opportunities for underserved segments. Women-run businesses and small enterprises often face disproportionately high barriers in accessing credit, ranging from limited collateral to systemic gender biases and informal economic constraints. This new collaboration seeks to address these gaps by delivering long-term financing and institutional support.

Addressing a Critical Credit Gap

Despite the country’s economic reforms and strides in improving capital accessibility, significant credit constraints persist. According to the World Bank’s 2024 Enterprise Survey, only 19 percent of Uzbekistan’s small businesses currently use credit—a statistic that reflects the urgent need for financial inclusion, especially among micro and small enterprises (MSEs).

“Uzbekistan’s MSEs are the backbone of the economy, driving job creation and innovation. However, access to finance remains a key challenge for these businesses,” noted Bakhtiyorjon Juraev, Chairman of the Management Board of Hamkorbank. “Our long-term partnership with IFC has been instrumental in narrowing this gap, helping local businesses grow and contribute meaningfully to the national economy.”

A Shared Commitment to Inclusive Finance

Alain Nounke, IFC’s Regional Industry Manager for the Financial Institutions Group in Central Asia and Türkiye, highlighted the importance of the partnership in supporting systemic change. “This investment reflects IFC's strong commitment to bolstering Uzbekistan's financial sector and promoting inclusive growth. Through long-term financing and strategic advice, we're helping Hamkorbank continue its vital work of funding local businesses, especially those owned by women, which are key drivers of jobs and economic progress,” he said.

The funding falls under IFC’s MSME Finance Platform – Base of the Pyramid Envelope, a program designed to target financial inclusion gaps globally. This initiative focuses on medium- and long-term loans to financial institutions committed to supporting micro and small enterprises, informal businesses, and low-income households.

Building on a Decades-Long Relationship

IFC has a long-standing relationship with Hamkorbank, dating back to 2001 when it became the first international investor in the institution. By 2010, IFC had become its first foreign shareholder. Over the years, IFC has invested more than $125 million in Hamkorbank across debt, equity, and trade finance instruments.

Beyond funding, IFC has played a pivotal role in institutional strengthening—supporting Hamkorbank in areas such as risk management, agribusiness financing, and the adoption of global best practices in corporate governance and human resources management.

This renewed collaboration is expected to foster a more inclusive and resilient financial ecosystem in Uzbekistan—providing lifelines for women-led enterprises and small businesses that fuel economic transformation from the ground up.