The European Bank for Reconstruction and Development (EBRD) has recently announced its commitment to providing a substantial financial package of US$ 4 million to MDO HUMO, one of Tajikistan’s leading microlenders. The aim of this funding is to amplify inclusive lending to the smallest customers in the remote areas of Tajikistan, with a focus on supporting youth and women entrepreneurship.
HUMO, which secured the EBRD Sustainability Silver Award this year, will be the recipient of up to US$ 2 million under the EBRD’s Youth in Business programme in Central Asia. This programme is specifically crafted to offer improved access to finance and relevant training to young entrepreneurs in the region. Additionally, HUMO will receive a loan of up to US$ 1 million under the EBRD’s Women in Business (WiB) programme for Central Asia, in a bid to foster women’s entrepreneurship and business activity. The third component of the EBRD’s financial package involves a loan of up to US$ 1 million, which is intended to stimulate the development of micro, small, and medium-sized enterprises in Tajikistan.
It is essential to note that the EBRD has a history of investment in Tajikistan, having already provided €947 million through 168 projects in the country. This underscores the EBRD’s commitment to promoting economic development in Tajikistan through various avenues, including support for micro and small businesses.
This funding comes as a significant development for Tajikistan’s economic landscape, as it will provide much-needed financial resources to bolster the local entrepreneurial ecosystem. By providing financial support to micro, small, and medium-sized enterprises, the EBRD is poised to drive meaningful economic growth in Tajikistan, especially in remote areas where access to finance may be limited.
The EBRD’s funding to HUMO aligns with the organisation’s broader mission to foster economic development and social progress in the countries where it operates. By supporting youth and women entrepreneurship, the EBRD is laying the groundwork for a more inclusive and dynamic business environment in Tajikistan.
As youth and women continue to play a crucial role in driving economic growth and innovation, it is imperative to provide them with the necessary resources and opportunities to thrive. The EBRD’s financial support to HUMO signifies a step in the right direction towards empowering these demographics and fostering a more diverse and vibrant entrepreneurial landscape in Tajikistan.
In conclusion, the EBRD’s provision of a US$ 4 million loan to HUMO of Tajikistan marks a significant investment in the country’s entrepreneurial ecosystem. By focusing on supporting youth and women entrepreneurship, the EBRD is not only contributing to economic growth but also promoting social inclusivity and empowerment. Through this financial package, the EBRD is poised to make a meaningful impact on the entrepreneurial landscape of Tajikistan, paving the way for enhanced opportunities and economic development.