The IFC to Continue Buying Shares of Belarusian Banks

09.07.2010 09:11
Архив Редакция

International Finance Corporation will continue to invest in the banking sector of Belarus, while stressing on the purchase of private banks shares. However, according to the IFC Resident Representative for Belarus, Craig Bell, the organization, making part of the World Bank, is interested not only in Belarusian banks-stock.

«We are interested in participating in stock capital and provision of credits to finance small and medium business and for other purposes. It is too early to say which banks will be of special interest to us, but we expect further expansion of the investment portfolio for Belarus», Craig Bell said, PRIME-TASS informs.

The IFC Resident Representative noted that the organization focused primarily on the private sector, therefore «any investment, we can make in private banks and banks, providing financing to small and medium business, will be important for the Belarusian market».

However, Craig Bell underlined that currently it was not to wait large IFC investment into Belarusian banks, because to do that, he said, there had to be carried out «structural changes, the banking sector should develop and expand».

Belarusian banks have overcome the crisis, because there was no credit boom, Bell

The IFC Resident Representative also noted that economic crisis affected Belarusian banks less than banking sectors of other countries. According to Craig Bell, it’s partly explained due to the fact that in Belarus there was no credit boom, which took place in other countries.

«Furthermore, there growing awareness of authorities that an expanded and more powerful sector of small and medium enterprises is needed for sustainable economic development. This, in its turn, has a positive impact on the banking system», the IFC Resident Representative for Belarus said.

The IFC began investment activity in Belarus in 2004, although Belarus has made part of the corporation since 1992. To the date, the organization has invested about 260 million dollars in Belarusian banking sector. These funds were partially provided in the form of loans for Priorbank, Belgazprombank, Belarusian Bank for Small Business.